The Washington times., 1929-01-25
| N D j S I RIAL
RECORDS
BROKEN
BY HARRY GUsACK
Financial Editor

Financial Editor
All previous records for the vol
une Of industrial production were
exceeded for the year Of 1928, &C
scording to an announcement made
iitoday by the Federal Reserve Board.
THE boards survey also disclosed
the fact that in this increase in
output there was an equally great
iistribution of the commodities pro-
iuced. The boards statement, In
part, follows:
There was some recession in ac-
tivity during the last two months
0fa1928, but for the year as a whole
atne volume Of industrial production
was larger than in any previous
year. Distribution of commodities
to consumers kept pace with pro-
auction. and there was no evidence
sof a general accumulation of stocks
nat distributing points or OF inven-
tories at factories or commercial
fasstab blishments.
Factory employment and pay rolls,
which had declined in 1927, showed
q slow Improvement in the early
part Of 1928 and rose rapidly in
the second half Of the year. Asri-
cultural production was also 'afger
ins 1923 than in the preceding year,
but the crops were marketed at
somewhat lower prices, and total
returns from agriculture are ex-
pected to be approximately the same
as last year.
Rising Interest Rates
In the money market the year
was characterized by steadily ris-
ing interest rates, particularly for
loans on securities Credit extended
by member banks expanded rapidly
during the year. refIecting both in
creased business activity and growth
In. the demand for credit to finance
Trading in securities.
w Gold exports, which had begun
4 In the autumn of 1927, continued
sdlring the first half of 1923, and
the monetary stock OF gold de-
clined by $240, 100000 during the
wear. The effect on the demand
for reserve bank credit of gold
Withdrawals, though it was offset
in part by reduction in the de-
mand for money in circulation, car
Tied the volume of reserve bank
credit outstanding in December to
Z q higher level than at any other
time in the past seven years.
I'm the last part of 1897 manufacs
turing activity showed pronounced
4eeAssion. After the turn of the
year industry became more active,
ana in the second half of 1923 pro-
auction increased rapidly, reaching
new high levels in October. In the
last two months OF the year sharp
decline in the output of motor cars
and d decrease in steel production
we're reflected in a reduction OF in
dustrial activity. Nevertheless, at
the end of the year the volume Of
production was larger than at the
same season of any previous year.
The advance in the year In the
volume of production. was not uni.
formly distributed among the vari-
Qtls industries. 1t was especially
marked in automobiles and related
4 products, in iron and steel, and in
copper, while cotton textiles and
bftuminous coal were less active
than in earlier years. although
both recovered somewhat in the
fourth quarter.
The output OF minerals was at
i relatively low level in the first
after midsummer. In part of the
activity of the automobile industry
the aggregate output Of manufac-
lures for 1928, estimated on the
basis Of incomplete data, was ap-
proximately per cent larger than
in 1927, and mineral production
was in about the same volume as
il the preceding year.