JANUARY 1936 SURVEY OF CURRENT BUSINESS UNITED STATES DEPARTMENT OF COMMERCE BUREAU OF FOREIGN AND DOMESTIC COMMERCE WASHINGTON VOLUME 16 NUMBER 1 THE charts on pages 4 and 5 portray the trend of commodity prices from 1929 to date. The better balanced price structure at the end of 1935 as com­ pared with that of 3 years earlier is clearly Indicated. A. discussion of recent trends with particular emphasis on the relationship of the various price groups Is dis­ cussed In the special article on the pages noted above. UNITED STATES DEPARTMENT OF COMMERCE DANIEL C. ROPER, Secretary BUREAU OF FOREIGN AND DOMESTIC COMMERCE N. H. ENGLE, Acting Director SURVEY OF CURRENT BUSINESS Prepared in the DIVISION OF ECONOMIC RESEARCH ROY G. BLAKEY, Chief M. JOSEPH MEEHAN, Editor Volume 16 JANUARY 1936 Number 1 CONTENTS SUMMARIES AND CHARTS STATISTICAL DATA-continued Page Business indicators................................................ 2 Monthly business statistics: Page Business situation summarized. • • • . • . • . • . • . • . 3 Business indexes............................................... 18 Comparison of principal data, 1931-35.............................. 6 Commodity prices............................................. 19 Domestic trade. • . .. .. • . • . • . .. • . 7 Construction and real estate................................... 20 Employment. • . • . • . • . • . • . • . • . .. .. .. • . • . • . • . • 8 Domestic trade................................................ 21 Finance........................................................... 9 Employment conditions and wages..................... • . • • • • • 23 Foreign trade .................................... , . • . 10 Finance ....................................................... 27 Transportation. • .. .. .. .. .. • . • . 11 Foreign trade................ • .. • . • .. .. .. • . • . • .. • . • . • .. 30 Survey of individual industries: Transportation and communications.......... • . • . • . • . • . • • • 33 Automobiles and rubber •......................... , ... ,........ 12 Statistics on individual industries: Iron and steel. • .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. 13 Chemicals and allied products................................. 34 Textile industries.............................................. 14 Electric power and gas......................................... 37 Foodstuffs and tobacco. • • • . • . • • • . • . • . • . • . • . • 37 Fuels and byproducts........ .. .. • . • . • .. • . • . • . • 41 SPECIAL ARTICLE Leather and products.......... • . • . • . • . • • . 43 Lumber and manufactures..... • . • . • . • . • . 44 Commodity prices, 1930-35..................... • . • . • . .. • . 4 Metal and manufactures: Iron and steel. • . • . • . .. .. • • .. • . • . • .. • . • .. .. .. .. .. .. 45 STATISTICAL DATA Machinery and apparatus.................................. 47 Nonferrous metals and products........................... 48 Weekly business indicators, 1934 and 1935 ••••••...•••••.•.•••.•.• 15, 16 Paper and printing........................................ 49 Revised series: Indexes of employment and payrolls in the aluminum Rubber and products...................................... 51 manufacturing and stamped and enameled ware industries, in the Stone, clay, and glass products............................. 52 rubber, nonferrous, durable, nondurable and all manufacturing groups, unadjusted. Indexes of employment in the stamped and Textile products........................................... 53 enameled ware industry and in the rubber, nonferrous, and all Transportation equipment................................. 54 manufacturing groups, adjusted. • • • . .. • . .. .. .. 16 Canadian statistics. • . • . • . • . • • . • . • . • . • . • . • . • 56 Weekly business statistics through December 28.................... 17 General index ........................................ Inside back cover Subscription price of the SuRVEY OF CuRRENT BusiNESS is )11.50 a year. Single-copy price: Monthly, 10 cents; weekly, 5 cento. Foreign subscriptions, $3, including weekly supplements. Make remittances only to Superintendent of Documents, Washington, D. C. 38031-36-1 1 2 SURVEY OF CURRENT BUSINESS January 1936 Business Indicators 1923-25=100 INDUSTRIAL PRODUCTION 1sor-----r-----r-~~~~~r---~ FACTORY EMPLOYMENT AND PAYROLLS CONSTRUCTION CONTRACTS AWARDED 160 200 TOTAL FREIGHT CAR LOADINGS FREIGHT CAR LOADINGS L. C. L. 160 160r-~~~~~~~~~~~~~=---~ WHOLESALE PRICES 16o.-----.-~~~~~~~~~------~ VALUE Of EXPORTS VALUE Of IMPORTS 200 200 100 100 Adjusted Adjusted 1---.... _/ ~~ ..,.._- I'-- - 0 I I I II I I I 0 I II II-- II ~II I II I II I d I BANK DEBITS OUTSIDE NEW YORK CITY fEDERAL RESERVE MEMBER BANK LOANS* 200 160 0 ADJUSTHD FUR SEASONAL VARIATION *REPORTING ,~fEMHEN HANKS 0./). 8332. January 1936 SURVEY OF CURRENT BUSINESS 3 Business Situation Summarized NDUSTRIAL production during December has the continued expansion in the national income dis­ I been maintained at a relatively high level after tributed during 1935. While data are not yet avail­ expanding steadily on a seasonally adjusted basis able to measure this increase, preliminary estimates from July to November. While the customary year­ suggest that the total national income distributed will end slackening has occurred in some industries, auto­ exceed the 1934 figure of $50,200,000,000 by more mobile production has remained steady and steel mill than 5 percent, and possibly by as much as 10 percent. activity has continued close to the year's peak reached An outstanding development of the year was the in November. For the year 1935, industrial produc­ initiation of a revival in the construction industry. tion was about 14 percent higher than in 1934 and the Privately financed contracts awarded, as reported by largest since 1930. Expansion in the durable goods the F. W. Dodge Corporation, were 44 percent higher industries was a major factor in this increase, although in the first 11 months of 1935 than in the correspond­ production in these industries remained lower than ing period of the preceding year. The gain in that of the nondurable goods industries, relative to the residential construction accounted for an important predepression period. part of the increase. While the volume of publicly Retail sales reports indicate that the volume of financed contracts expanded considerably during the sales during the Christmas shopping period was con­ final quarter of 1935, total awards for such projects siderably above that of 1934. For the full year, the for the year were below the 1934 aggregate. value of retail sales was well above the 1934 total, with Foreign trade returns for November revealed a articles in the luxurv or semiluxury classification sharp expansion in exports, mainly as a result of the assuming more importance in relation to the total large volume of agricultural products shipped abroad volume. Some indication of the comparative improve­ For the year the relative increase in imports was con­ ment in rural and urban areas is evidenced by the 19 siderably in excess of the export gain. percent gain in the index of rural sales of general mer­ The expansion in industrial activity during 1935 chandise, and the 5 percent increase in the department was accompanied by a further rise in profits of leading store sales index during the first 11 months of the year. corporations. This was one of the considerations These retail sales increases reflect the gradual influencing the rise in stock prices, although many broadening of the recovery movement as indicated by others undoubtedly contributed. MONTHLY BUSINESS INDEXES J<'actory em· Department t'oreign II: = Industrial production ployrnent Freight-car loadings store sales, trade, value, "'~ ~ and pay rolls value .. ,/;'OJ adjusted • ~ ............ H' ,;; Merchan- .. .. Unadjusted 1 Adjusted • ...• Total '<l., 0 dise, I. c. I. ....."'"''"=' ..., =0 I ~~ ='OJ .5;! ., ., 'a~ .. 'OJ 01'11 ...,'OJ - e-;;.. ~:I ~6 "' . -o .. .. .. IQ.<Il - .,.:.~ ="' !S.S ;:! ;:! .. ::! ..,::! 'OJ- 'OJ -'OJ ..... o.El Year and month .... .... -o ;ee ., o:;- ...o:;- ..... " ...., - :l ~~ ., .. .. s .. .. .. ., ., .. 'OJ " 'OJ -'OJ ;:! • .:: "; .s"' "; ;:! :l ;:! .. "';:! $ .. :l 'OJ ;:! ;:! .!.r == ., ... ., ... 1S t "; :;' :;' .. :;' .. .. .:11 -=~,~Q, 3 = ... = ~ u s=' & & = 0 "' ';6'= " ';6'= "' ';6'= = 0="" ... :8 {?. = = = .. .§ \,;) :I!!"' i :I!!" i i ! ~ -Oil ~ -Oil ~ -Oil liil =" It; '"' Monthly Monthly average, !923-2S=IOO average, 1926=100 1929: November_ _______ !OS 107 114 110 110 110 103.6 104.1 102 I 102 I 106 104 1 125 108 101 105 144.4 66 93. 5 1930: November ________ 84 82 96 86 I 85 92 84.7 76.8 86 84 I 94 92 113 99 66 63 99.8 46 81.3 1931: November ________ 72 70 117 73 71 81 71.6 58.1 70 68 85 83 97 85 44 46 74.0 26 70. 2 1932: November ________ 65 63 78 65 63 75 63.2 42.9 58 57 70 68 73 63 32 32 55.4 27 63. 9 1U33: November-------- 74 70 85 72 70 86 76.0 55.5 60 59 67 66 75 66 42 40 60.5 48 71.1 1934: November•• -------- 74 73 84 75 74 81 76.8 59.5 60 59 65 64 83 74 45 47 68.0 31 76. 5 December·--------- 78 76 85 86 85 90 79.0 63.2 56 64 62 66 135 78 42 41 79.6 31 76. II 1935: January------------ 88 87 91 91 90 94 80.6 64.2 58 64 61 65 59 74 45 51 76.4 27 78. 8 February--·-------- 91 91 92 89 88 96 82.0 69. 1 61 65 63 65 61 75 47 48 66.8 28 79. 5 March •.•.••.. ------ 91 91 90 88 86 97 82.6 70.7 62 65 65 64 71 82 48 49 80.3 26 79. 4 ApriL •• ---------- __ 89 91 79 86 86 87 82.4 70.8 59 61 65 63 79 73 46 49 79.8 27 80.1 May---------------- 87 87 88 85 84 89 81.3 68.5 61 61 65 63 76 76 46 52 79.4