Evening star., 1939-04-22
Proof Is Offered
On Need 10 Expand
Low-Cost HOUSING
Increase in Families
Tops Building Pace,
Dr.. Husband Says

The number of American families
Is continuing to increase at a rate
faster than homes are being built,
DR.. William H. Husband, member
of the Federal Home Loan Bank
Board, pointed out today.
mo better proof could be offered
than this for the need of expansion
in low-cost residential construction, I"
he said.
DR.. Husbands conclusion was
based on studies showing that, while
the number of American families
now is increasing rapidly each year,
the number of new dwelling units
provided for them annually is con-
siderably below that of the average
year in the last decade.
The solution of the problem, DR..
Husband concluded, must be sought
IN the field of lower-cost housing,
for most Of our people cannot af-
ford to purchase new houses at
prices now being asked"
1--WE are in period where the
annual increase in the number of
families is we'll in excess of the an
nual increment of housing units"
DR.. Husband said.
Marked Increase.
while our population has in
creased at the rate of only 900 900
persons per year since 1880, as COM
pared with 100000 per year in the
decade of the 20s. the number of
families is now displaying marked
increase"
For instance, DR.. Husband said, a
recent study shows that since 1880
the total population of New York
City has increased by approximately
645.0OO, or slightly less than 10 per
cent. During the same period, how
ever, the number of families in that
city is estimated to have increased
by 100000, or nearly 10 per cent.
This has been caused both by
marriages which were deferred be-
cause of earlier unfavorable eco
nomic conditions and also more
naturally by the changing age dis
tribution of our people" he con-
tinued. Precise figures are not
available to measure the increas-
ing number of families per year,
but studied estimates have been for
INFLATED which indicate that non
farm families are currently increas-
ing at the rate of 100000 per year.
This is well in excess of the num-
Der of new housing units provided.
For the year 1898 the Department
Of Labor estimates that 347, 900 new
housing units were provided, as
compared with 296,00O in 1887"
This "paradoxical" situation, Dr.
Husband pointed out, must obvious
" mean that we are failing to
maintain the housing standards
which prevailed in 1880. To meet
the growing need for housing, he
said, both the States and the Fed
eral Government have enacted
much legislation In an attempt to
stimulate construction.
Expansion Disappointing.
Then, turning to the economic and
financial factors behind the coun-
try's failure to meet its housing
needs, DR.. Husband resumed:
'The failure of any marked ex-
pansion Of new residential con-
struction to make its appearance is
puzzling to those who are pri-
marily conscious of social need
alone. It is less difficult for those
economists who still look to the
market as the chief determinant
of business ACTIVITY to comprehend
some of the reasons for the some
what disappointing expansion of
construction.
"1t Is recognized that need alone
cannot become the source of effec-
tive demand, but that purchasing
power and means are essential to
vitalize buying activity.
Viewed from this more realistic
hight, one cannot escape the limiting
influence Of the distribution of in
come which shows that most of our
people cannot afford to purchase
new houses at the prices now being
asked"
Table Compiled.
DR.. Husband then referred to the
following table compiled by the Ma
tional Housing Committee of the
income in 1885 of American nom
farm families:
Annual income Number of