Evening star., 1938-01-06
RETAIL SALES Up
g. PCT. OVER 1886
Secretary Roper Also Re.
ports to Survey Shows In
ventories Not Excessive

Total retail sales in the United
States increased 6la per cent during
1887 as compared with 1886, attain
ing the largest dollar volume since
1880. according to preliminary esti-
mates Of the Bureau Of Foreign and
Domestic Commerce made public by
Secretary Of Commerce Roper.
At the same time, Mr.. Roper an
nounced that \ survey Of merchandise
inventories discloses that quantities
Of merchandise in the hands of manu-
facturers, wholesale distributors and
retailers at the close of 1897 were
not excessive, although they were
somewhat above normal and in a
few instances were considerably in
excess Of current requirements"
Total retail sales in 1897 amounted
to $40. .388, 100000, as compared with
the 1885 total Of $37,940. 900 900, Mr..
Roper said. Although this was the
largest dollar volume since 1880, 1t
was 18 per cent below the record
total Of $49,1l5.O 100000 for 1929.
Percentage Increase Less.
Secretary Roper admitted. however,
that the percentage increase for 1887
over 1886 was considerably less than
any year-to-year gain recorded during
the recovery period" He said that
1t was not until the fourth quarter
Of the year that retail sales began
to show the effect of the general
recession in industry. They were at
. relatively high level during the
summer and early fall, he said, after
making outstanding gains during the
first four months of the year.
The general advance in retail
prices from a year ago suggests that
the physical volume of goods sold
during 1887 was not commensurate
with the dollar volume recorded u
1t was stated in a report made public
by Mr.. Roper.
The 1887 estimates indicate q
recovery Of about 60 per cent in dol
lar sales from the 1888 low year
The automotive group, which receded
relatively further from 1929 to 1888
than any other, with a decrease of
70 per cent, has contributed more
than any of the other groups to the
recovery Of total retail trade"
OF each dollar spent in retail estab-
hshmentS In 1887, the report showed,
nearly one-third went for food and
beverages; more than one-fifth for
automobiles, auto accessories and gas
oline; about one-flfth for general mer-
chandiSe and apparel and the re-
mainder for other goods.
Dollar Volume Gains.
All trade groups recorded gains in
dollar volume during 1887. The food
group, with a larger dollar volume
than any of the others, showed an
increase Of per cent, while the auto
motive group, with the second largest
sales, increased per cent. The fur
niture and household appliance and
the lumber, building and hardware
groups recorded an increase of more
than per cent each.
In announcing the increase in vol
time Of inventories, Secretary Roper
expressed confidence in the confer
ence' method Of regulating excess
production and leveling-out periods
OF business expansion and recession.
Such . conference Of the Business
Advisory Council Of the Commerce
Department is planned for later this
month, he announced.
Our study reveals that stocks Of
certain semi-manufacturesa and manu-
factured goods reached excessive
levels toward the middle of 1887"
Mr.. Roper said, but that 4 realiza-
ton Of this fact caused business men
to make efforts to work OH these
inventories during the third and
fourth quarters of the year.
Inventories Liquidated.
The weakness of the price struc-
ture which developed early last sum-
mer led to the curtailment of pur-
chasing by manufacturers, the Slow
Ing down of production, and the con-
sequent reduction of long inventory
positions. Wholesale distributors in
most trades had liquidated excessive
inventories by the end Of the last
4aoA hAAh CAAlClCu lllS llCW year
in a fairly strong position. The re-
tail trades had also reduced inven-
tories in most lines from mid year
and third-quarter highs to positions
which were not dangerously excessive
at the close Of the year.
ALTHOUGH the general situation
does not appear to be such Is to
cause serious concern, there are 4
number Of industries and trades in
which distinctly excessive inventories
continue. For the most part, these
are certain raw material industries
and some of the durable goods lines. 4"
With the resumption of normal
consumer purchasing, it was forecast,
these stocks will be reduced to the
point where an increase in the rate
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