Evening star., 1943-10-18
America Leads World
In Newspaper Buying,
Index Survey Shows
Special Dispatch to The Star.


NEW YORK, Oct. 18.-Witf
newspaper circulation in the Unitec
States currently topping 433 mil
lions a day, record for all time
the $4,000 900 families of this coun.
try are now buying more news
papers per capita than any nation
in the world, the Index. quarterly
publication of the New York Trust
Co.. says in report issued toda,
summarizing the importance of the
newspaper business to our nationa
economy.
More than 40 per cent of all per-
sons over 10 years old buy news
papers, the analysis says. News
paper reading in America. vel
established as habit and a neceS-
sity' in peacetime, received further
stimulation when war started ir
Europe and these gains in circu-
lation have been maintained. it was
asserted
"A 81 900 100000 enterprise with a
public function, Americas / 800 daily
newspapers represent one of the
unique industries of the country in
points of influence. ownership anc
character of business" the surve,
states.
Teachp and Leads
The average publisher, conscious
OF his duties to government. to his
community and to a complex in.
dustrial society must report as wei
AS interpret the significant events
Of the world. The modern news.
paper, because of the job it does
both teaches and leads.
Freedom of speech. a cherished
principle Of the founders of the re.
public and successfully protected
since l776, has given this countr,
the advantage of a press which
even in wartime, enjoys an unparal-
leled degree Of independence in com
parison with the rest of the world
This is vital economic and SOcia
advantage which has been main
tanned successfully by the induStr,
because of genuine sense of public
responsibility"
Analyzlng the induStry'S gross rev.
enueS. the report stated that up unit
almost so years ago. when the re.
verse trend began. American news.
papers derived the bulk of their rev.
enue from subscriptions rather thar
advertising. In 1912 advertising anC
circulation revenues were estimated
at from s850,00O,0OO TO 5000, 900, 900
Of which circulation contributed
some 40 per cent The possibilitie
which the newspapers offered to ma
tlOnal advertisers were never full,
realized until the first World War
says the bank. when the newspape,
became an invaluable ally in tn,
sale of S24 900 ,000,0 worth of Lib
erty bonds, and even during III.
depression the newspapers appeared
to be successful in holding their owl
as national advertising media.
Local Advertising Leads.
DHh ltA1 Codl &c Vi lIt"S
paper advertising revenue has al
ways been local in character. state
the analysis. which showed that 4
per cent Of the space used for adver
tlsing last year was bought by loca
advertisers.
Newspapers must compete. how
ever. not only with each other bu
with all other advertising media.
the report continues Newest anc
/ most aggressive of competitors il
| the radio. established as an adver.
tlSine medium only about tWc
decades. In 1923 newspaper in
come from advertising amounted Il
S760000,000 and radio was only $40
100000, or less than 2 per cent o
, the total shown in the chart OF
advertising expenditures.
I Radio advertising. at SAC, 900 .OOC
was nearly 4 per cent of the total
while newspaper advertising aggre
! gated S800,00000 in the banner yea
of 1929. BY 1912 radio advertiser.
had risen 10 S245 900 900. or 25 pc
cent, as against the newspaper figur,
of s580.00O, 900