Evening star., 1939-10-22
User Value and Lower Prices
Stand Out in New Cars
Improvements Center
Around Convenience,
Comfort, Safety
BY ALVIN MACAULEY,
President, Automobile Manufacturers
Association

Association,
Competitive enterprise in the au-
tomobile industry again yields dlvl-
dends to the American public in the
1910 models now on the market
Emphatically, two things stand out
this season: Every company has
built more user-value into it's prod
ucts, and prices have remained
down. On many cars buyers will
find lower price tag than last
year.
"A look over the new models will
Chow that the makers have under
taken a wide variety of improve
ments over last years cars. All new
ears show reflnements for convent
Ghce. comfort and safety. Through
out will be found construction and
finlsh planned to give still greater
durability and service.
= Above all, evidence will be found
that lnventivenesS and challenging
experimentation for basic improve
mentS has not ceased. On the con-
trary. no one can say in looking
over these cars that the industry has
become static, or that the future
cf progress is limited
Along with the competitive strides
made, the industry this year pre-
sents fine product of cooperation
undertaken in the public interest.
Car lighting standards far superior
to those obtainable under many
State laws in the past are incorpo-
rated in the sealed-beam lighting
system. The new headlight, offered
on virtually all cars. is the product
OF three years research in which all
motor companies engineers partici-
patcd. along with the responsible au-
thorltles of the States.
Landmark Of Initiatives.
The 1910 Automobile Show OPEN
ing today is landmark attesting,
as perhaps no other single event can,
the stake this country has in keep
Ing open opportunity for exercise of
initiative and competition.
The automobile industry today
looks ahead from four decades of
progress-progress achieved through
constantly accelerated competition
ACI bllS customer S 1dNOG.
With the rest Of the world now
locked in grave struggle with the
future Of freedom for individual
men and enterprises dimmed in
n many lands. the record of COM
petitions benefits in the motor in
dustry of this country is overwhelm-
ingly significant.
industry have had to spend millions
upon millions annually for engineer
ing, for research into improved
products and for methods for new
and better machinery. to keep its
place in the race The struggle for
markets has prevented any let-up in
this expenditure for research. and
has forced rapid introduction Of
every improvement issuing from the
laboratory. It has compelled stead
llT closer figuring on manufacturing
costs and productive methods.
Prices One Third of 1919.
Comparisons with 40 years ago are
made meaningless by the revolu-
tlonary change in the vehicle. but
virtually every one of the manufac-
turers in business today is selling
cars at prices which are less than
one-thlrd the cost of the nearest
comparable vehicles produced only
20 years ago
While the public has thus been
given the greatest dividend Of free
enterprise and competition in the
motor industry, automobile labor
also has shared in remarkable de-
gree. The hourly wages of workers
in automobile manufacturing plants
today average above 95 cents an
hour. far above the wage paid in
comparable plants anywhere else in
the world. At the same time.
despite the extraordinary reduction
In price and the production econo-
mics made necessary to reach these.
' the industry requires more workers
for every 100 cars built today than
1t did 10 or 20 years ago Not a
cent Of the saving to the public
has been taken out of labors divi-
dends from automotive production.
Taxes Are Higher.
government, 700. mas taken
greatly increased share IN taxation.
The one significant shrinkage has
been in the element of profit.
Not regulation or compulsion by
any superior authority. but the COM
petitive process. has steadily reduced
the profit margin per car to point
possible only because, through in
creased value to the public. the
market for motor vehicles has been
greatly broadened.
The American motor industry has
established the automobile standard
for the entire world. Entrance of
its products into foreign markets
has contributed to the opening up
Of all lands and actually set the
competitive pace for the producers
of all countries.
Today major war RACES abroad.
< The men in this industry have no
divided thoughts on war-their one
idea is to strive for peace and to
keep war away from American
shores.