Evening star., 1945-08-20
U.S.. IndustryP|anning
To Boost Production
41.6 Over 1889

4I.O VveI I1o1
| Ey the Associated Press
NEW YORK, Aug. 20.-American
industry is preparing to boost pro-
duction 4l.6 per cent above its 1899
output within year, assuring more
jobs than in prewar days, T. G.
MacGowan, Marketing Committee
chairman of the Committee for
Economic Development, said yes
terday.
He decried almost hysterical
predictions of unemployment in the
reconversion period and estimated
the total of employed civilians
would be approximately 54,0Oo,O00
in the first full year of production
after the transitional year.
Reconversion unemployment need
have no permanent bad effects, Mr.
MacGowan said, if the frightening
tone" of some predictions docs not
cause consumer and business conf
dence to deteriorate."
Survey Is Released.
In releasing survey by the COM
mittee, based on estimates from
1,406 manufacturers and 158 trade
associations with more than 10000
members, Mr.. MacGoWan accepted
estimates of the prospective labor
force as 60,O00,0O0, with an eXpec-
tation of 3,5O0,OO0 being in the
armed services and 2,500,000 unem-
ployed forming permissible labor
float"
Mr.. MacGowan, manager of the
marketing research department of
the Firestone Tire & Rubber Co.,
Akron, Ohio, said manufacturers
alone were prepared to employ 49,
100000 to produce S80,518, 900 900
worth of goods from September,
1916, to September, 1947, compared
with 1O,078,O00 in 1889 to produce
S56,843, 100000.
Production, Mr.. MacGoWan said,
will rise in greater proportion than
the number of employees because of
improved machinery, better meth
DDS and continuing increase in the
efficiency of the American work
man" All figures were based on
use of the 1899 price level.
Second Period" Outlined.
The survey dealt with the sec
ond period" of from five to 10
years, following the first period of
year of reconversion. Industry
will seek in the second period to
catch up with accumulated demand
for goods scarce or unobtainable
during the war"
The final postwar period, Mr..
MacGowan said, would involve "the
shift in self sustaining basis,
during which jobs will depend upon
current demand and current in
come"
The committee for economic de-
velopment has begun survey of
this final period, William Benton,
vice chairman of the committee,
said. The study is expected to take
two or three years.
Industry will be in a better posi-
ton to meet dangers in this period !
Mr.. MacGowan said, If it maintains .
a very high level of productive en-
ployment" during the period of
consumer demands.
Mr.. MacGoWan said the commit /
tees estimates of future production
were based on expectation of the |
same number of work hours a year
as in prewar economy, no imitation
and little change in taxation.
Planning Is Urged.
Emphasizing these goods will not |
sell themselves" he urged planning
at the grass roots, community by
community, for expanded postwar
merchandising and distribution
The, automotive industry will lead |
the parade in the post-reconversion |
era as after the World War, COM
mlttee estimates indicated, with a
1873 per cent gain in value of out
put over the 1889 level. Transpor-
tatlon equipment, other than auto
mobiles, will increase production
743 per cent, the survey indicated.
Third greatest increase expected
was in tobacco products with a gain
of 69.4 per cent, followed by chem
icalS and allied products with 58.2l
per cent, electrical machinery, 56.2
per cent; machinery, other than
electrical, SIS per cent; furniture
and finished lumber products, ATT
per cent; rubber products, 47.3 per
cent; nonferrous metals and their
products, 44.2 per cent, and stone.
clay and glass products, 43.2 per
cenf