Evening star., 1937-01-24

this efficient illumination along the
danger spots on State highways there
fore has merit, and is being adopted
or financed by number of county
and State highway departments"
For other justifying reasons for the
trial installations of lighting, Com
missioner Connor pointed out that
permanent illumination has been
proved to facilitate the movement OF
traffic in localities where severe fogs
are prevalent, particularly in the
States of Washington and California.
Another strong argument for per-
manent lighting systems on main
State highways is the fact that those
systems make the use of bright head
lights unnecessary, and therefore
eliminate dangerous glare" the COM
missioner reported. Even II head
lights are not turned down or de-
pressed, the increased visibility along
permanently lighted highways tends
to suppress glare"
Use and registration Of motor We
hicles and consumption of motor fuel
are increasing so rapidly as to make
possible in 1887 a national average
reduction of 40 per cent in State gaso-
line sales tax rates without reducing
revenues below the 1885 level.
In 1885 the States collected $685.
85l 900 from gasoline sales taxes and
1922, ,481 600 from motor vehicle reg
istration fees, a total of $939,346, ,000
Preliminary reports for 1886 indicate
an expected increase of roundly $70,-
100000 in State gasoline sales tax
revenues and large increase in reg
lstration fees resulting from the reg
istration of 100000 new vehicles.
Further indications are that these up
ward trends will continue in 1887, with
State gasoline sales tax revenues es-
timated at $110,000,000 greater than
in 1885 and registration fees S50,0OO,-
600 greater, the combined increases
totaling $160,00O,000.
The gain in revenue would be in
creased to more than $300,00O,00O if
the States end the practice of divert
ing highway funds to general purposes.
In 1885 such diversions totaled Sl46,-
459,000, and it is believed the total
was even higher in 1886. But with the
States receiving larger revenues from
other tax sources, it now is believed
possible to end this drain upon high
way funds for relief and other pur-
poses which occurred during a period
Of emergency and dimished general
tax receipts.
Growing and widespread demand for
the reduction of the number of fatal
tiles and accidents on highways now
| necessitates the resumption of. high
way work in virtually every State, and
it is believed that the expected cost
of gasoline sales taxes in 1887, esti-
mated at S726, 1000 900, could be re-
duced S300,000,000 for the benefit of
the taxpayers without reducing avail
able road funds below the 1885 total.
This saving is seen as possible through
an average reduction of 40 per cent
in State gasoline tax rates.
1t has been the experience in States
which have reduced gasoline sales tax
rates that the reduction leads imme-
diately to an increase in consumption
of motor fuel and also to an increase
. in motor vehicle registrations and au-
tomotive trade activity. The increase
in consumption tends to offset aay
decline in revenue expected from re-
duction of the tax rate, and the situa-
tion further is aided by the gain in
registrations and registration fees and
increased trade and employment.
Rejecting the current automobile
strike, production this week is esti-
mated by Auomotive Daily News at
70,294 units, as compared with a re-
vised estimate of 75,209 units last
week.
All units of General Motors this
week were off the list of active pro-
ducers. Chrysler units, at peak pro-
duction practically since the introduce
ton of new models last Fall, appear
unable to lift scheduled to any great
extent, says Automotive Daily News.
Among the plants showing gains
this week were Studebaker, Nash,
WHY'S and Cord. Curtailment was
evidenced at Graham and several
truck plants. Current reports are
that some independents might close
shortly because of lack of supplies,
but late Tuesday there was no evidence
to bear this out. No appreciable short
age of materials seems imminent,
Automobile Daily News reports.
Automotive Daily News estimated
production by makes for the current
week follows: Ford, 10000; Plymouth,
11,OOO; Dodge, 1000; Hudson and
Terraplane, $500; Packard, 1890;
Studebaker, 1885; Nash and La
Fayette, 1900; De Soto, 1900; Chrys-
Ter, 1000; WHY'S, 1914; Graham. $50,
and Cord, 65. Nash's schedule of
1900 for the week is its largest since
1929. Miscellaneous companies, which
include truck manufacturers, are ex-
pected to turn out about 4,500 units,
against $500 last week.
January production will total about
100000 units at the outside, Automo-
tive Daily News estimates. But for
the strike the month would easily hit
the 100000 mark.
Despite the fact that incomplete
December registrations show gains of
nearly 40 per cent, Automotive Daily
News is holding to its earlier estimate
of approximately 100000 passenger
car registrations for the month. Later
returns may alter this estimate, how
ever, the publication points out. Truck
registrations for December are esti-
mated at about 10000 units.
D~sec