Milford chronicle., 1951-12-28

l. Excluding defense orders, the total business
volume in 1852 will be less than that for 1851. How
ever, National Income in 1852 will be very high,
war orders take the place of peace production.
GOVERNMENT CONTROLS
2. The outstanding feature of 1952-barring all
out war-will be the Presidential Election No
vember 4, 1852 l comment further upon this under
paragraph As.
3. Tie Administration and its economic ad-
visOrs appear firmly convinced that radical inha-
ton is about to break out next But the brain
trusters" are overlooking the fact that the boom
is already old and that it creaking badly when
the Korean War broke out. The date of the slide
has only moved ahead.
4. Farm income will continue high in 1852.
5. AS 1852 wears on the effect of controls. in
creased taxes, and high prices will cause decline
in legitimate business If civilian production declines
too much, the public may then cry, This is a gov
ernment-made slump; let's change the Administra-
ton"
6. If in 1852 it becomes evident that business
is declining too much as result of government
curbs, the planners at Washington will rush their
patient into an oxygen tent
LABOR OUTLOOK
7. Many labor groups will be successful in get
ting another round of wage increases in 1852. AL
though there may be more important strikes in the
first part of 1852 there should be decline in work
stOppages in the last half year.
s. Tightness in the labor supply will continue
through 1882 particularly of highly-skilled work
ers. Wages of such workers will be advanced vol
UNFAIRLY in order to hold them.
g. The Taft-Hartey Law will not be repealed
during 1882 but may be amended. The Admins
traitors of the Law will continue to wink at some
of its clauses.
COMMODITY PRICES WILL REMAIN FIRM
10. Wholesale prices of many commodities will
suffer mild decline in 1852 when compared with
the price level for December 81, 1851 In lines
the drop may be quite steep from the high levels
of 1851 Retail prices for 1852 will hold steady.
I H. Commodity speculation for a rise will not
pay in 1852. Furthermore, expanding stOckpiles
of strategic materials present real price threat
in the event of peace Such stockpiles could
a.
merchants will operate with only conservative
inventory.
70. The cost of living will remain high during
1852. This prediction recognizes that living costs
next year may continue above the lower levels that
existed during the first half of the year closing
also predict further rises in freight and passenger
rates.
FARM OUTLOOK GOOD
10. Congress will not take any action during
1852 to legally bolster sO-caled Fair Trade price
b. maintenance. It's too risky politically when con
. sumers complaining about the cost of living
But some manufacturers will tighten up on dis
tributOrs, eliminating those who won't sign Fail
Trade contracts
a. Barring crop failures, the total supply o.
food available should be larger in 1852 than fOl
1851 since the government will raise planting quotas
as part of its attack initiation. If the weather i:
" extremely favorable, the government will be asked
= to give away surplus crops.
e Is. With prospects good for rising supply o
feed grains. meat should be more plentiful
next year than in 1851. Prices for beef, however
will be held up by high wages and military needs
. LOCAL TAXES WILL BE HIGHER
8 Is. The burden of Federal taxes. both cOrpor
ate and personal will not be increased again durin
It 1852 above the advance late in 1851 State ant
l. Municipal taxes, however, will go higher again.
T., II. The above forecast is based on the assump
ton that unless Stain starts World War III durin
I; the early months of 1852, he has made up his min
q to forget World War III until the United States an
l. our Allies again Go to Sleep" which may be som
years hence. We give this a definite predctiO
-. as TO the outlook for World War III.
8 1S There three ways of preventing inda
le ton % increased production; (2) decreased spenC
'e ing; and CD a last resort, increased taxes.
v forecast that the current exploitation and accom-
=" panyng fear of initiation not yet at their peak
-, for this business cycle.
y 10. States and municipalities will again
rs under pressure to find adequate sources Of revt
" nue. Further increases in sales taxes by States
IN Municipalities can be looked for next year.
J. 20 There will be no increase in luxury taxes
during 1852
DOMESTIC TRADE UNCERTAIN
III 81 Credit curbs will continue to hold down II
demand for automobiles and certain househO
it. eOuipment Compilations of fewer dwellings will ais
:" act IS damper furniture sales.
nc o. Failing demand for hard goods should stin
" ulate the pubc's spending for food and lOwerpricC
soft goods
w g. The above trend forecast will mean d
cline in department store volume. l predict ri