Evening star., 1934-12-31
Important Exceptions.

Important Exceptions.
It shows that. generally, we are at
about the same level as last year, with
certain important exceptions. The
main exception is that wages and en-
ployment have been notably improved
Industrial production is about the
same as last December, but wages are
about 10 per cent nearer normal and
employment about per cent better
This may be nothing to get out an
extra about-especially in view of the
fact that demands for relief are not
diminishing-yet it is encouraging.
An equally important improvement
in 1884 was in department store sales
They were 10 per cent nearer normal
this December than last. OF course
that is generally attributed to the
pump printing money which Mr.
Roosevelt has been putting out.
For your guidance in reading the
accompanying chart, the averages OF
1923.25, inclusive. are considered loo
(normaD for everything except prices
Seasons NuIlified.
The figures are assembled mainly
by the New Deal economists for gov
ernmental use, although most of them
are compiled by governmental
agencies. Seasonal variations have
been eliminated as far as possible, SC
that each figure represents the actual
percentage Of normal at the time!
stated.
Note In the chart the continuous
Improvement In industrial activity
for the past four months II Is
important because the tDheels
usually sloW do,on at this season.
(Ot course, they did in November
and December, but the decrease
was less than seasonal, so the
chart shows an improrement.J
The better December figure was
due largely to steel and automobiles
Steel ran at 81 per cent capacity
Steel improvement Is expected to con.
tinue through the Spring.
The auto makers have been op-
Grating at rate greater than sea.
sonal, largely because they have
changed their production season. But
their plans for next year exude ever
more substantial optimism. Reports
inside the trade indicate q planned
output of 80 million cars next year
Compared with about 2.7 this year,
The trend Is toward larger anc
roomier cars, with not so many costl!
gadgets on them.
Tertile insiders hare noticed
that there has been strong buying
lately. Big orders in December er-
ceeded expectations and Dere con-
siderubly in excess of production.
Unquesttonably, production In this
line also tDill haze to be stepped
up early in the netc year to meet
demand.
1t might be best not to spoil 9
very encouraging new year outlook
by referring to building, but the sit.
uation is somewhat better than tn,
woeful figures indicate. The number
of permits issued in November were
10 per cent over a year ago, and tht
extent of additions, alterations anC
repairs was 61 per cent over q veal
ago. That is due to the fact tha-
housing relief agency activity is a
least beginning to show some results
however slight.
Prices Higher.
There was another improvement
not mentioned above-prices. The,
are now about 10 per cent higher thar
| in December last year. Much of tn
increase can be attributed to tn
drought boost In meat and farm
prices. yet there has been a small
increase in prices generally. Nor
significant Is the fact that they hav,
been stabilized at the existing leve
for the past five months. They viii
60 little higher in the Spring.
II any of you business men wan
more detailed, but less up-to-date
! analysis of the situation, get a cop,
Of the address Of Bureau Directo
Murchison of the Commerce Depart
ment, delivered at Pittsburgh Satur
day. It is the most intelligent New
York statement from the New Dea
| standpoint. OF course, DR.. Murchi
son gives the administration tn
benefit of many doubts, but essen
TALLY his sound analysis lacks tn
| usual political fragrance.
All in all, conditions indicate tina
the happy New Year greetings ar
not idle wishes, although it nigh
be just as well to omit the adjectiv
prosperous" from them. Anyway,
has not been used for a long time
The statistics: