Evening star., 1954-01-02
1854 Business
Outlook Good,
.WeeksSays
Secretary Sees Drop
From '53 Record,
But Is Optimistic
BY The Assoeiased Press


The new year may not equal
1855 record-setting splurge,
Secretary Of Commerce Weeks
said today. but the outlook is for
one of the better years of eco
nomic history"
Secretary Weeks optimistic
forecaSt-written into his year.
end report-contrasted sharply
with concern voiced by some
Democrats like Senator Douglas
Of Illinois. who said last week
that the United States already is
suffering a real recession"
It also was at variance with
the opinion Of a majority of
some 800 economists who met
here this week and agreed the
country is in a mild business
slump that they predicted would
last through next year.
The cabinet officer said "the
outlook is bright for a high
overall level of jobs and business
activity" and IAN abundance
of newer and better products at
attractive prices"
"Our best days are yet to be :"
he declared. THE Nation is
more productive and more pow
srful than ever before"
Mr.. Weeks cautioned that
"short-run difficulties may arise :"
but he said these can be
faced with realistic optimism. +"
Many economic adjustments
already have been made, the
Secretary said. land others will
be dealt with as we move ahead" 4"
On Guard for Recession.
Should any severe economic
fluctuations develop, he prom
ised the Eisenhower administra-
ton will not be caught off guard,
but will take necessary and
timely action to cope with the
situation"
The administration will con-
tinue its policy Of encouraging
economic stability and growth
and of preparing measures for
prompt use wherever and when
ever required" Mr.. Weeks stated.
Mr.. Weeks gave this summary
Of economic developments in
1858:
During the first half of the
year business activity was ac-
celebrating too fast to be main
tanned indefinitely; hence in the
second half there has been some
easing of from the production
peaks reached earlier.
Most of the readjustment has
been associated with the elimina-
tion of an exceptionally fast
rate Of inventory growth. Not
withStanding the cutback in in
ventory accumulation. the ma
tional product in the final quar-
ter Of the year was above the
closing period of 1882"
Mr.. Weeks report showed that
new marks were chalked up last
year in production, personal in
come, consumption and employ
ment.
The gross national product
the market value of all goods
and services produced-totaled
1857 billion, a new record S per
cent greater than in 1852.
Record High Income.
Personal income amounted to
1924 billion in 1953-about S per
cent more than the previous rec
ord set in 1852.
Americans used this increased
income to buy more than ever
before-$230 billion worth in
1853, compared with $218 billion
the year before.
11OI11C OuAOAI1B - IL A1lkllOAA
new non-farm dwelling units
reached the third biggest annual
total in the Nations history.
Businessmen spent a record
$28 billion to expand plant and
other productive facilities. They
also added about 81 billion
worth Of inventory stocks.
Civilian employment averaged
61.9 million, the highest ever re-
corded. Unemployment aver
/ aged Is million monthly, lower
than ever before except in World
| War II.
BY contrast, income of farm
operators last year fell 20 per
cent to about $12 billion. This
was the second straight year
that farm income had dropped
The Nations population grew
during the year by an estimated
2.7 million. It now is we'll over
100 million.