TEXAS BUSINESS REVIEW A MONTHLY SUMMA.RY OF BUSINESS AND ECONOMIC CONDITIONS IN TEXAS BUREAU OF BUSINESS RESEARCH COLLEGE OF BUSINESS ADMINISTRATION THE UNIVERSITY OF TEXAS VOL. XXIII, NO. 11 DECEMBER 1949 HIGHLIGHTS OF TEXAS BUSINESS PERCENT DECREASE PERCENT INCREASE NOVEMBER 1949 COMPARED WITH NOVEMBER 1948* Farm cash income.... . . ...................................... . Value of building permits ......................... .......... . Postal receipts ..................................................... . Electric power consumption ............................... . Industrial electric power consumption ............... . Retail sales...... ......... .. ................... ....... .. .. ... Bank debits............................. .................. ..... . Crude runs to stills.............................................. . Miscellaneous freight carloadings ..................... . Crude petroleum production ............................. . NOVEMBER 1949 COMPARED WITH OCTOBER 1949* Farm cash income ............................ . Value of building permits ................................. .. . Miscellaneous freight carloadings ..................... . Industrial electric power consumption ... . Electric power consumption ............................... . Postal receipts ..................................................... . Bank debits.... . . .. . . ....... ... . ... . ..... ................... . Crude petroleum production ............................. . Retail sales .................................................. . Crude runs to stills.............................................. . •All percent changes obtained from seasonally adjusted indexes. 80 80 TWO DOLLARS PER YEAR The Business Situation 1n Texas Business act1v1ty in Texas snapped up sharply in November as the ending of the coal and steel strikes released the drag on the flow of goods that had sent most of the major barometers downward in October. It was pointed out a month ago that the decline in October ending the upward trend that has held since summer could readily be reversed when the two big strikes were settled. All the statistical series that have become avail­able for November indicate that this is what happened. The composite index of business activity in Texas rose 10.4% in November to carry the index to an all-time record height of 206.7% of the 1935-39 base period. The previous high point of the index was in April 1948 when it stood at 204.0. Every component of the index rose in November, after adjustment for the normal sea~onal variation, which mea~s that all the maior phases of Texas business showed an increase during November. This sharp rise in Texas business activity in November removes any doubt that the mild recession of the first half of the vear has definitely been stopped and that business activity is back to the level prevailing at the end of 1948. In other words, the year 1949 has witnel:'sed a recession and recovery at an extremely high level of activity, so high, in fact, that it is meaningless to call the movement a recession. The level of activitv for the year 1949 can now be forecasted with considerable accur­acy, since eleven-twelfths of the record for the year is now available. In most lines of business it seems likelv that 1949 will be in the aggregate a slightly poorer vea·r than 1948, but in spite of this decline it will be an out­standingly satisfactory year for b11siness. The series representing values have declined more than the series representing physical volume, since there has been a steady and persistent decline in the level of prices. Some lines of business, outstanding among which is the auto­mobile industry, have established new records, but the general pattern is for 1949 to be somewhat below the level of 1948. Another measure of the level of economic activity in the United States is the estimate of unemployment made by the Bureau of the Census. In November 1948 it was ~stimated that 1,831,000 persons were unemployed, while m November 1949 this number had risen to 3,409,000. The Bureau of Labor Statistics of the United States Department of Labor and the Texas Employment Com· missi?n ~stimate the employment in manufacturing in­dustries m Texas, although there is no data on the changes in the total employment in the State. For November the employment in manufacturin" industries in the State was 334,900 compared to 338,900,, in October There is no explanation for the drop in manufacturing employment which is not in agreement with the movement of the Bureau's measures of manufacturing activity dis· cussed below. The manufacturing employment series is the only important barometer of Texas business that does not confirm the rise in activity during the month of November. The manufacturing component of Texas business is represented in the composite index by the rate of activity of the petroleum refining industry and by the consump­tion of electric power for industrial purposes. The runs of crude petroleum to stills is used as the measure of petroleum refining, but since satisfactory measures of the activity of other manufacturing industries in the State are not available, the consumption of electric power in manufacturing operations is used as a substitute. It is to be expected that the consumption of power will vary directly with the rate of operations in manufacturing. Industrial power consumption rose 17.2% in November from the level of October, bringing the index to 320.4, a record high for this series. The rise from October was exaggerated because of the slump in activity related to the coal and steel strikes. The petroleum refining in· dustry made only a slight gain, 0.2%, from October, and the Bureau's index of crude runs to stills in November was 6.3 % below the level of November 1948. These two INDEX OF TEXAS BUSINESS ACTIVITY ADJUSTED FOR SEASONAL VARIATION 22!S 200 200 I75 I50 I25 I00 75 50 1935 1936 1937 1330 IS~·9 19 40 1941 i94?. IS43 1944 !945 1946 1947 1948 1949 1950 The TllAB BUSINSSS Rllvmw is published by the Bureau of Business Research, College of Buslnese Administration, The University ol l'BM. Entered u aect ad-class matter on May 7, 1928 at the poet.office at All!ltin, Texas, under the act of AU&'Wit 24, 1912. series representing manufacturing activity in Texas account for 19.3% of the weight in the composite index of business. The component of the business index representing trade and service rose 3.1 % from October. The Bureau's esti­mates of retail sales in Texas after eliminating the effect of price changes are used as a measure of this portion of the business situation. The estimates of retail sales showed an increase of 3.6% over October, adjusted for eeasonal variation but not adjusted for changes in the level of prices. This increase in retail sales was the result of a 9.8% increase in the sales of nondurable goods stores which more than offset the decline of 3.9% in the sales of durable goods stores. The movement of goods in the southwest rose sharply in November as measured by miscellaneous freight car­loadings. The Bureau's index in November was 23.9% higher than in the previous month, and was 8.4% higher than the average for the first 11 months of 1949. The resurgence of business after the settling of the coal and ateel strikes undoubtedly accounts for the strong rise in this index in November since the October level was unusually low. . The production of crude petroleum was 5.0% higher in November than in October but was still far below the rate of production in November 1948. The Bureau's index of crude petroleum production in November was 13.4% below a year earlier. Building activity also rose sharply in November, with the Bureau's index of building permits in Texas cities up 26.9% from October and 35.2% higher than the average for the year to date. After adjustment of the value of permits for the rise in building costs, the rate of building was 411.2% of the 1935-39 level. The con­tinued high level of building is one of the major factors accounting for the continued high level of business in the State and in the country as a whole. The rise in business activity registered by the Bureau's composite index can be seen in another kind of business barometer based on the total of debits to individual bank accounts. Whenever a payment is made by check, the amount of the transaction is reflected in the debits to individual accounts of the banks. The index of bank debits in individual accounts thus measures the volume of business transactions in the State. The chart below ehows the Ouctuations in the index of bank debits, which resemble closely the changes in the composite index of business on the preceding page. The Bureau's seasonally adjusted index of bank debits rose 6.7% in November over the preceding month compared to a rise of 10.4% in the composite. In using hank debits as a measure of INDEX OF BANK DEBITS IN TEXAS business activity it is important to remember that it reflects the changes in the level of prices as well as the volume of business, and since the present price level is approximately double that of the prewar years, the index of bank debits is much higher with respect to 1935-39 than the composite index, which is a measure of the physical volume of business. The receipts of the post offices in the principal cities in Texas also serve as a measure of the volume of business transacted, since an increase in the volume of business activity almost inevitably results in an increase in the use of the postal system. The seasonally adjusted index of postal receipts in Texas cities rose 9.1 % in November, to confirm still further the upward movement in the whole business situation. The eomposite index of business activity does not include any direct measure of farm prosperity, except as it is reflected in the volume of business of concerns that sell to farmers. The index of cash farm income from farm marketings is compiled as a separate measure of the economic status of farmers and represents the cash receipts from the sale of farm products each month. Since cash income from the sale of farm products varies greatly with the seasons, it is necessary to make allow­ance for the seasonal factor, and the published index is adjusted for this. However, the adjustment for seasonal variation is not completely satisfactory and the index tends to show somewhat erratic fluctuations from month to month. The index for November rose 54.9% from October to carry the index to the highest point reached this year and higher than for any month in 1948. The unusually good crops produced in 1949 have held farm income at high levels in spite of the fact that prices received by farmers have steadily declined. The only phase of business that has continued to show a steady decline has been prices. The wholesale price index of the Bureau of Labor Statistics shown below charts the course of the price level since 1939. This index has declined steadily since the last half of 1948 with only very minor reversals of this trend. The average of the weekly indexes for November was 151.4, a decline of 8.3% from the 1948 average of 165.1. LNOEX OF WHOLESALE PRICES IN THE UNITED STATES PERCEN T I80 60 40 120 00 " 601 ­( 1926• 100) J L.•.J /"' ,/"\.. r/ PERCENT I80 "" I 60 I40 I!O I00 80 1939 19 4 0 1'141 1942 1943 1944 1945 1946 1947 1948 19 49 60 The Bureau introduces a new index showing natural gas production in Texas in this issue of the Review. A description of the index and monthly figures since 1938 are given in a special article on pages 22 and 23. TRADE Retail Trade (The movement of rood• Into the hando of co••umero la one of the fundaml!'lltal oerleo of statistical data on buolneH activity, since for buolnesa to be sound the volume of retail trade muat be rood. Durlnr a period of inflation an lncreaoe in Hlea result• from a rlae In prlceo as well as from an lncreaae i•n the amount of buala..a. A more detailed aaalyoio of retail ••lea trends lo made la a Supple­aent to the Review on Texao Retail Trade. Th• fluctuatioaa la retail credit ratio• are important conditloninr factoro of the volume of trade. Newspaper advertloinr linare and pootal recelpta ara 1econdary trade Indicator•.) December "at the crossroads" reveals renewed con­sumers' buying, cautious rebuilding of merchants' inven­tories, increasing competition, expanding use of credit, and need for aggressive promotion. ESTIMATES OF TOTAL RETAIL SALES (In thousands of dollan) Percent change Jan.-Nov. Nov. 1949 Nov. 1949 1949 Type of Nov. Jan.-Nov. from from from store 1949 1949 Nov. 1948 Oct. 1949 Jan.-Nov. 1948 TOTAL -·--······· 450,595 4,539,465 + 4.1 + 1.6 -2.0 Durable goods .... 188,282 1,794,971 +26.5 -2.9 + 8.1 Nondurable goods 262,313 2,744,474 -7.6 + 5.0 -7.6 In Texas, retail sales estimated at $450,595 thousand topped 1948 sales for the second consecutive month, after seven months of volume losses. A 26.5% increase over November 1948 for durable goods (equaling the October increase after months of much smaller changes) mor,. than offset a 7.6% average drop for nondurables, bring· ing the 1949 total dollar volume only 2.0% below 1948. INDEX OF TEXAS RETAIL SALES ""'°"" ADJUSTED FOR SEA SONAL VARIATION, 1935 · 39•100 Petten1 The index of total retail sales (based on 1935-39 and adjusted for seasonal variation) rose in November to 335.3, equaling the earlier high point of April 1948 and topping the average indexes of 289.4 for 1947, 320.5 for 1948, and 314.3 for the 11 months of 1949. Deflated to remove the effects of price changes, the adjusted total sales index at 179.1 stood at its highest point since November 1948, comparing with average indexes of 160.6 for 1947, 166.2 for 1948, and 166.0 for 1949. The durable goods index declined another 19 points to 450.6, but still was well above the index of 392.5 for the 11 months of 1949 and the average indexes of 313.0 for 1947 and 362.2 for 1948. The nondurable goods index recovered 23 points to 279.2, highest point since April and above 275.2, the 11-month average of 1949 and the 12-month average for 1947, but below the 1948 average, 297.8. RETAIL SALES TRENDS BY KINDS OP BUSINESS Source: Bureau of Buainess Research In cooperation with the Bur..u of the Censua, U. S. Department of Commerce Percent chana'e Business Number of reportlna' Nov. 1949 establl1h­from ments Nov. 1948 Nov. 1949 from Oct . 1949 Jan.-Nov. 1949 from Jan.· Nov, 1948 Apparel stores --·················· 274 - 7.4 - 3.7 - 7.2 Automotive stores ····­····-···· 252 +22.4 - 7.0 + 18.7 Country general stores........ 61 - 2.8 - 8.0 - 6.6 Department stores -·---­----­ 91 -10.9 - 5.1 - 6.S Drug stores -··-··-·------­171 + 5.0 + 0.8 Eating and drinkina' places 130 - 0.2 -1.6 -H F lorist• -------·-----­---·-----­--­ 48 -7.cks 106,324 314,186 -66.2 Sources: Southern Pine Association, Bur~u of Mines, and Bur~u. of the Census. ­0 Aa ot week endin11: December 3, 1949. •End of month. Construction (Because of the accumulated deficiency of building In all aectlOlla of the State, data on the volume of construstion work are an ex­tremely important part of the buaineu situation. Bulldinc permits or contracts awarded are lfe'llerally used to measure b•ilding activity, but recent studies by the United States Bureau of Labor Statisitics Indicate there is considerable lair In beclnnlnc construction of build­ings for wlaich permits have been laaued, and that actual costs are now 25o/• or more above the permit valuation. Loans by savings and lean associations reflect the financlnc of residential houalnc.) The volatile index of building permits rebounded from last month's average of 607.8 to a lofty 771.4, the highest level since July 1948. In fact, this month's level of activity is not far below the all-time high when the index reached 838.1 in January 1948. Sizable gains during November were registered by Corpus Christi (52.1%), Dallas (37.3 %), Fort Worth (54.2%), Lubbock (98.3%), Port Arthur (297.6% ), and San Antonio (31.2%). Several of these gains were offset by the slump in permits issued in Houston where the total dropped from $10,867,234 in October to $4,325,137 in November, a drop of 60.2%. Permits for the construction of residences accounted for approximately 72% of all new construction permits issued during November. This is slightly above average as compared with September and October. BUILDING PERMITS ISSUED BY CITY-SIZE GROUPS* (value in thousands ) Nov. Oct. Percent Population t 1949 1949 change TOTAL __.._ __ ______ .._ ..______ ___ $44,140 $40,864 + 8.0 ===================== 18,662 21,162 -12.3 60,000-100,000 -····----------------·-­ Over 100,000 ··········-····--···--·----· 8,561 9,567 -10.5 25,000-50,000 ............---······--·············· 6,460 3,800 + 70.0 Below 26,000 -----·····-······-··--10,667 6,335 + 66.8 •Only building for which building permits were issued within the incorporated area of the city is included. Federal contracts are excluded. tl940 Census. BUILDING PERMITS ISSUED BY CLASS OF CONSTRUCTION* (value in thou.ands) Nov. Oct. Percent 1949 1949 change TOTAL ------­--------­----- ­-­ $44,140 $40,864 + 8.0 New conetruction --------·--­ 38,241 36,162 + 5.7 Residential --·-----------­ -­--­ 27,506 19,429 + 41.6 H ousekeeping ---------­--------------­ 27,483 19,306 + 42.4 Nonhousekeeping ----------­ 23 123 - 81.3 Nonresidential --­---­-------------­-­ 10,735 16,733 -35.8 Additions, alterations, and repairs.. 5,899 4,702 + 25.5 *Only building for which building permits were issued within the incorporated area of the city is included. Federal contracts are excluded. CONSTRUCTION CONTRACTS Source : Texas Contractor Percent change T ype of building Nov. 1949 Oct. 1949 Nov. 1948 Nov. 1949 Nov. 1949 from from Nov. 1948 Oct. 1949 TOTAL -----·$ 82,752,131 $ 49,599,384 $ 93,993,636 -12.0 +66.8 Engineering .. 14,548,244 5,865,545 15,862,303 -5.8 Nonresidential 29,196,464 27,913,115 32,598,953 -10.4 + 4.6 Residential __ 39,007,423 15,820,724 46,037,380 -15.3 Natural Reaourcea (The production of crude petroleum la a major tndustry In Teu1 and the changea In the volume of production have a cllrect •llect upon the Income produced In the State. FlcurH on the number of well completions by districts Indicate the extent to which n111 sources of oil and gas are belnc developed and the areas of the State In which drllllnc operatlona are In process.) November daily allowable production was 135,000 barrels higher than the authorized amount for October, and output increased accordingly. The allowable was granted in anticipation of a sharp increase in demand for heating oil for consumption in the Midwest and East, but such increased demand failed to materialize. It was also felt that the coal strike would strengthen demands for fuel, but its effect has not been significant. Since storage tanks were filled to capacity in November, production for December was reduced 218,357 barrels. The shortage of water remains an unsolved problem for most of the State. Prospects of better conditions in the future brightened with the announcement that the federal government stood ready to give financial aid to the State. Some people in the State are opposed to federal aid where water is concerned for fear that this aid will be accompanied by too much control, while others take the opposite view. The opposing groups seemed close to a reconciliation in November after the West Texas Chamber of Commerce had discussed water conservation and Texas' need for additional development of water WELL COMPLETIONS Source: The Oil and Gas Journal November 1949* District Total Oil Gas Dry 389 TEXAS ·····-·····--··-----------1,281 822 70 188 259North Central Texas ----------------451 (82 West Texas --------·----------·----------------819 269 ' 530 P anhandle --------·----------- -----------------97 62 2875 44 3 Eastern Texas --------------------------------­ 58 193 119 16 Texas Gulf Coast -------------------------­ 62 146 69 15 *For five weeks ending December 3, 1949. Southwest Texas -·-------------------­VALUE OF NATURAL RE.SOURCES PRODUCED Source: State Comptroller of Public Accounts Percent change Nov. 1949 Nov. 1949 Nov. Oct. Nov. from from Item 1949 1949 1948 Nov. 1948 Oct. 1949 Carbon black ____$ 3,566,34·4 $ 1,923,233 $ 4,315,321 -17.4 + 85.4 Crnde oil __ 15 , 54,711 150,735,477 209,547,187 -24.2 + 5.4 Natural and casing­ bea.d gas__ 13,198,2?5 13,046,703 15,930,255 -17.1 + 1.2 sources. It is now common knowledge that great quanities of water flow wastefully through \\'est Texas each year. About half of this water could be sawd if proper con­servational developments were proYided. Public Utilities rn.. consumption of electric power by lndustrlal concem• ls • •ea&UM! of the volume ef industrial activity, since lt may be aa• &Wiled that the amount of powet" used will be directly related to ..,.ufacturinr volume. Residential and commercial power con1U111p. U.. abow • seasonal variation due to the chanclnr amount of U.htiq needed.) The increase of business actiYity during November is illustrated by both indexes of electric power consumption, with the industrial index showing the greater gain. The index of total electric power consumption (1935­39=100) , adjusted for seasonal changes, gained 10.4% during \o,·ember o\·er October. Compared to l\'oYember of 1948, the gain was 10.2 7c . October is the latest month for whigh figures are available on electric energy production. HoweYer, it is interesting to note that while production dropped in October, with a slackening of manufacturing activity, the output was still 10.5"c above that for October in the preceding year. Energy production in the L'nited States, on the other hand, was down 3.3;7(; during October as compared to October 1948. ELECTJt.IC POWElt CONSUMPTION" (in thousands o! kilowatt hours) Percent change Use TOTAL N ov. Oct. N ov. 1949 1949 194 --­----­654,921 635, 1 594,l 4 Nov. 1949 from Nov. 1948 + 10.2 Nov. 1949 from Oct. 1949 + 3.0 c.ommercW --141,12 160,89 126,063 + 12.0 -12.0 lnd trial 294,262 266,256 2 0,077 + 5.1 + 10.5 Residential __ 109,220 106,695 94,367 +15.7 + 2.4 Other 110,311 102,469 93,677 + 17.8 + 7.7 • pl'e'J>attd !rom reports of 10 electric power companies to the Bureau of Bt11in-Research. AGRICULTURE Income (The amouDt of Income received by farmet"I Is a complete maaa• ure of the prosperity of acriculture, taklnr lnto account both th• volume of producta sold and the prices received. Since the market­inrs of many products are concentrated ln certain seasons of tlla year, It Is Important that the data be adjusted for seasonal varia­tions ln order to show the basic chait.-n In the situation of a.-rfcul­ture.) Following a decline of over 200% from September 19.t.9 to October 1949, the adjusted index of farm cash income for the State jumped to 707.1 % of its 1935-39 base. This is the second highest level reached in the post­war period, being second only to the 767.1 % standing of July 1947. The dollar income for the State as esti­mated. by the Bureau of Business Research was $345, 712 thousand in l\ovember, 79% more than in November 1948 and 26.8~~ more than in October 1949. While the income for the year in some principal crops will be less than in 1948, the present trend indicates that total income for the State will exceed 1948's unless December suffers a severe decline. The year to date income as estimated by the Bureau of Business Research is Sl,685,517 thousand as compared to $1,564,769 thou­sand for the same period in 1948, an increase of 7.7%. ~lost of the increase in income is recorded in the Northern High Plains (26.6% ), Southern High Plains (18.9%), and the Red Bed Plains (26.6<;{). TEXAS BUSINESS REVIEW FARM CASH INCOME Indexes, 1935-39 = 100, Amount, Jan.-Nov. adjusted for seasonal variation (in thousands) November October November District 1949 1949 1948 1949 1948 TEXAS ---------­707.1 456.5 395.1 $1,685,517 $1,564,769 1-N --------­--­845.4 1-S _________ l ,477.9 532.5 669.3 561.4 691.4 208,018 205,079 164,295 172,510 2 -­-------­-891.8 452.8 391.5 236,574 186,910 3 ----------­412.8 274.1 346.8 69,756 81,663 4 ·---------------­365.4 305.8 181.8 271,925 257,832 6 ----------------­305.9 251.4 199.9 94,890 95,375 6 -------------­495.7 626.2 590.0 55,846 62,247 7 --------------­286.0 278.4 285.6 78,577 98,003 8 ---------------­496.4 542.1 341.2 169,378 154,866 9 -------------­402.4 419.3 331.1 127,062 118,692 10 ----------­298.2 488.0 319.3 44,777 58,199 10-A ---------­--- 277.4 100.6 253.6 123,635 114,177 The income from cotton and cottonseed accounted for most of the increase in income in November 1949 as com­pared to November 1948. In spite of the decrease in price from $147.50 per 500 pound hale in November 1948 to $134.00 in November 1949, the increased mar­ketings of 1,178,223 bales produced $148,942 thousand more. Cotton (Tile cotton balance sheet ahowa the basic demand and supply factors affecting cotton which is an outstandin11 element in the farm Income of the State.) The outstanding facts in the American cotton situation are: the fourth largest crop ever produced in this country, 16 million bales, is being harvested; the govern­ment allotment of 21 million acres to be planted in cotton in 1950 is a reduction of 4.3 million {over 16%); from 1949 acreage, and both consumption in and exports from the United States are running ahead of last year. The amount of cotton entering the government loan so far, 1.6 million bales, is less than half of the entries to December of last year. Mill stocks of cotton are still relatively low. The world cotton situation presents a somewhat different picture. Foreign supplies are reduced but the total world supply is about 43.5 million bales, an increase of about 2.7 million bales from last year, since American supplies are up 3.2 million bales. Cotton prices of American cotton are in a relatively stronger position than last year. Slimmer margins are good and the export prices of American cotton are sub­stantially lower than comparable qualities of Brazilian cotton. SHIPMENTS OF LIVESTOCK (in carloads)> Source: Bureau of Business Research in cooveration with the Bureau of Agricultural Economics, U. S. Department of Agriculture P ercent change Classification Nov. 1949 Oct. 1949 N ov. 1948 Nov. 1949 Nov. 1940 from from Nov. 1948 Oct. 1949 TOTAL SHIPMENTS 5,994 8,330 8,056 -25.6 -28.0 Cattle Calves H ogs -------------------­ Sheep INTERSTATE PLUS FORT WORTH Cattle Calves Hogs Sheep INTRASTATE MINUS FORT WORTHt Ca ttle Calves H ogs Sheep 4,074 1,170 488 262 6,168 1,059 471 632 4,970 1,694 660 732 ---- 18.0 30.9 26.1 64.2 -33.9 +10.5 + 3.6 -58.5 5,421 3,645 1,049 488 239 7,406 5,524 984 471 427 6,825 4,025 1,500 653 647 ----- 20.6 9.4 30.1 25.3 68.1 -26.8 -34.0 + 6.6 + 3.6 -44.0 573 429 121 0 23 924 644 75 205 1,231 945 194 7 85 ---- 53.5 54.6 37.6 72.9 -38.0 -83.4 +61.8 -88.8 *Rail-car basis: cattle, 30 head per car; calves, 60; hogs, 80; and sheep, 250. tintrastate truck shipments are not included. Fort Worth ohipmenta are combined with interstate forwardings in order that the bulk of market disappearance for the month may be shown. Marketings (The level of farm Income la affected not on.17 i., ....... la prices, but by the Yolume of product. farmen aKd to market la • irfven month. Data on ahlpmenta of farm products mut alto lie need to expleln the chanaea In the leYel of farm Income lnm month to month.) With few exceptions, the marketings in the State increased in November over November 1948. Cotton and cottonseed showed by far the greatest marketing increases during the month as compared to the same month in 1948, while grain, sorghum, and peanut marketings declined. COTTON BALANCE SHEET FOR THE UNITED STATES AS OF DECEMBER 1, 1949 (in thousands of running bales except as n oted) Year Carryover Dec. 1 Imports to Dec. 1• Government estimate as of Dec. 1• Total Consump­tion to Dec. 1 Exports to Dec. 1 Total Balance as of Dec.! - - -­ 1940-4L -------·-------~---------­10,5961941-42__________________________________ 12,376 1942-43______________________________ 10,590 42 129 105 12,686 10,976 12,982 23,324 23,481 23,677 2,801 3,553 3,771 495 577 514 3,296 4,130 4,285 20,028 19,351 19,392 1943-44-----------------------­------­10,687 1944-45_______________________ 10, 727 1945-46____________________________ 11,160 1946-47_______________________ 7,522 1947-48___________________ 2,521 1948--49___________________________ 2,823 1949-50________________________ 5,283 51 57 111 144 198 124 t 71t 11,478 12,359 9,195 8,482 11,694 14,937 16,034 22,216 23,143 16,828 16,148 14,413 17,884 21,388 3,421 3,262 2,942 3,483 3,024 2,850 2,872 626 511 924 1,203 2,641 532t 794t 4,047 3,773 3,866 4,686 3,288 3,382 3,666 18,169 19,370 12,962 11,462 11,125 14,502 17,722 The cotton year begins August 1. *500 pounds gross weight. tTo N ovember 1 only. TEXAS BUSINESS REVIEW LOCAL BUSINESS CONDITIONS Percent change Percent change Nov. 1949 Nov. 1949 Nov. 1949 Nov. 1949 November from from November from from City and item 1949 Nov. 1948 Oct. 1949 City and item 1949 Nov. 1948 Oct. 1949 ABILENE: BEAUMONT: Reta.ii sales Department and apparel store sales_ Postal receipts s 42,233 Building permits s 592,005 Bank debits to individual accounts (thousands) $ 37,914 End-0f-month deposits (thousands) • $ 39,172 A.nnnal rate of deposit turnover -­11.9 Air erpress shipments 258 Unemployment 800 Placements in employment 54 Nonagricultural civilian labor force_ 18,400 + 3.5 + 3.6 + 19.4 + 3.9 -8.2 + 15.5 + 55.4 + 14.3 -10.6 -2.9 5.3 9.3 3.4 + 13.3 1.0 + 4.0 2.5 + 22.9 11.1 + 1.5 + 0.8 Retail sales Apparel stores Automotive stores ------­F ood stores ------------­Furniture and household stores __ Lumber, building material, and hardware stores --------­Department and apparel store sales_ Postal receipts ----------$ 63,102 Building permits $ 1,051,313 Air express shipments -----­309 Bank debits to individual accounts + 20.8 -16.7 + 30.8 + 10.8 + 14.6 + 39.3 -13.7 + 24.0 + 17.5 3.7 + 6.6 + 5.0 + 19.2 + 7.5 -31.4 + 9.4 1.4 + 2.5 5.4 8.6 (thousands) ----­----$ 96,926 6.2 + 5.3 AMARILLO: Retail sales Apparel stores Automotive st.ores + 8.9 -12.8 + 73.7 -2.7 -13.0 7.6 End-of-month deposits (thousands) • $ 91,662 Annual rate of deposit turnover _ _ 12.7 Unemployment (area) -----­7,200 Placements in employment (area) _ 1,962 N onagricultural civilian labor force -10.4 + 5.0 + 58.2 5.2 + 0.7 + 4.1 -14.6 + 13.5 Furniture and hou ehold stores _ _ -10.3 + 8.6 (area) 76,300 + 0.4 + 0.3 General merchandise stores ___ 7.5 4.2 Water-borne commerce (tons) ---­ 10,046 -50.0 Lumber, building material, and hardware stores + 13.6 -19.0 Export and coastal cars unloaded _ 188 - 56.0 -23.9 Department and apparel store sales_ Post.al receipts $ 1,523 Cuilding permits $ 1,093,211 Air express shipments 5 7 -10.3 + 1 .6 + 30.4 -9.3 0.0 -21.9 4A BROWNWOOD: Retail sales + 19.3 - 0.2 U..nk debits to individual accounts (thousands) $ 9 ,517 + 5.4 0.7 Department and apparel store sales_ Postal receipts $ 15,756 -1.7 + 39.1 -7.8 + 29.7 Enf-month deposits (thousands)• $ Annual rate of deposit turnover --Ucemployment PW:ements in employment 93,062 12. 1,300 1,320 + 8.9 3.0 7.1 + 55.8 + 2.7 4.5 0.0 -16.5 Bank debits to individual accounts (thousands) _$ 11,719 End-of-month deposits (thousands)• $ 21,172 Air express shipments -----­31 + 15.0 -5.9 -31.1 + 8.5 + 1.9 -16.2 1'onagTicultural civilian labor force_ 36,900 + 2.5 0.0 AUSTIN: Retail sales Apparel st.ores Automotive stores Food stores Furniture and househ.old stores __ + 6.9 -6.8 + 33.6 + 2.8 + 14.1 7.9 8.2 12.6 -4.6 -15.2 BRYAN: Department and apparel store sales_ Postal receipts $ Building permits -----­--f Air express shipments -----­ 10,869 182,630 33 -14.7 + 19.4 + 95.8 + 32.0 -13.4 -3.3 + 47.0 -26.7 Lumber, building mat.erial, and hardware st.ores + 12.4 -13.8 CORPUS CHRISTI: Department and apparel store sales_ Post.al receipts s 149,117 Building permits $ 2,181, 735 Air erpress shipments 576 &nk debits to indi,;dual accounts (thousands) 109,578 End-0f-month deposits (thousands)• $ 107,009 -8.5 + 8.8 + 14.7 + 2.6 + 5.9 + 0.1 -0.7 -5.2 + 15.4 2.5 6.1 Retail sales Apparel stores Automotive stores ------­Furniture and household stores -­General merchandise stores ___ Lumber, building material, and hardware stores + 4.3 -6.3 + 23.1 -12.8 -3.1 -31.9 -7.6 -16.2 -8.9 -22.6 -18.3 -6.8 Annual rate of deposit tnrnover Unemployment Placements in employment ~onagricu)turaJ civilian labor force_ 11.9 1,230 1,005 45,280 + + 5.6 5.4 1.4 1.2 + + 4.0 7.4 0.5 0.4 Department and apparel store sales_ E>"port and coastal cars unloaded __ 163 P ostal receipts ----------$ 79,161 Building permits $ 1,032,887 -3.6 -45.3 + 14.9 -16.2 -18.l -26.6 -5.9 + 53.1 Air express shipments ------­ 469 - 12.7 -13.5 BROWNSVij..LE: Retail sales Department and apparel store sales_ + 5.1 + 25.3 -1.0 -12.7 Bank debits to individual accounts (thousands) _______$ 74,134 End-of-month deposits (thousands) • $ 80,215 Annual rate of deposit turnover __ 11.2 2.2 1.5 0.9 + 7.1 2.1 7.4 Postal receipts Enildi~ J)ermib! $ 17,3 4 213,565 + 20.1 + 37.6 - 4.6 Unemployment Placements in employment ---­ 2,400 1,580 + 71.4 + 28.7 + 14.3 -12.1 Export cars unloaded Air ""Press shipmenb! Coa.sta! cars unloaded Waw-borne commerce (tons) - - 351 432 5 0,255 -7.9 + 70.2 -57.1 + 10.5 + 38.1 -19.2 Nonagricultural civilian labor force_ Water connections --------­Electric connections Water-borne commerce (tons) --- 53,900 25,056 29,009 1,363,737 + 1.2 + 8.6 + 8.1 -17.6 + 0.2 + 0.5 + 0.4 -10.5 "Excludes deposits to credit of banks. *Excludes deposits to credit of banks. LOCAL BUSINE Percent change Percent change Nov. 19~9 Nov. 1949 Nov. 1949 Nov. 1949 November from from November from from 1949 Nov. 1948 Oct. 1949 City and item 1949 Nov. 1948 Oct. 1949 City and item DENISON:DALLAS: Retail sales -------------­+ 7.6 + 0.4 Retail sales -----------------­+ 13.9 + 6.8 7.0 3.7 Department and apparel store sales__ -14.5 Apparel stores ---------------·-----­6.S Automotive stores -------------------­+ 19.3 4.5 Postal receipts ----------------------$ 10,167 -7.1 + 8.9 Eating and drinking places -----------+ 3.6 14.l Building permits -------------------------------$ 128,682 + 32.4 + 58.1 6.6 10.5 Bank debits to individual accounts Florists --------------------------------­ + 6.8 2.0 (thousands) ----------------------$· 8,579,621 -12.6 + 1.2 Food atores ---------------­4.9 + u End-of-month deposits (thousands)• $11,067,284 + 12.3 0.6 General merchandise stores ----­ Lumber, buildin1it material, and hardware stores ----------------------------­ + 22.0 + 15.1 Office, store, and school supply GALVESTON: + 4.7 5.3 dealers ------------------------ -13.1 Retail sales ------------------------------- + 6.8 6.1 0.5 Department and apparel store sales_ Apparel stores --------------------------­-11.6 -0.6 + 21.3 + 2.9 Postal receipts -------------------------------------$ 1,057,478 3.6 +10.0 Automotive stores -----------------------­+ 5.5 + 37.3 Building permits ------------------------- ------$ 6,381,565 Food stores ---------------------------------+ 0.5 -6.0 5.8 8.6 Air express shipments ---------------------~.145 Lumber, building material, and Bank debits to individual accounts hardware stores -----------------------44.5 +SS.8 (thousands) _____:_________________________$ 1,038,690 3.7 2.0 Department and apparel store sales___ -12.4 + 2.6 End-of-month deposits (thousands)• $ 796,065 + 5.0 + 0.6 Postal receipts ---------------------------------------$ 57,540 + 9.4 + 6.2 Annual rate of deposit turnover ---------­15.7 9.8 3.1 173,109 Building permits -------------------------------$ + 26.4 -42.7 7,600 + 66.7 + 7.1 U nemployment ----------------------------­ Air express shipments --------------------­359 + 7.5 +16.8 4,541 8.4 -34.1 Placements In employment -------------­Bank debits to individual accounts Nonagricultural civilian labor force.... 250,700 + 5.1 + 0.5 14.4 (thousands ) ------------------------------$ 66,036 3.0 ­End-of-month deposits (thousands)• $ 94,101 4.9 -1.2 Annual rate of deposit turnover -------­8.3 0.0 -13.6 EL PASO: Unemployment ----------------------------------­2,900 + 38.1 0.0 + 6.4 -7.7 Placements in employment -----------------676 + 14.4 +16.0 Retail sales -----------­ 4.0 -14.1 Nonagricultural civilian labor force____ 52,650 -3.6 0.1 Apparel stores ------------­ + 34.6 -16.6 Export and coastal cars unloaded ___ 7,214 -31.0 -5.1 Automotive atores ---------­+ 7.1 Furniture and household stores --­+ 51.2 9.5 + 2.3 General merchandise stores -----------­ Lumber, building material, and HOUSTON: + 15.6 6.2 hardware stores ---------------------­-3.2 + 6.2 Department and apparel store sales-­-10.9 + 4.4 Retail sales ------------------­-5.2 2.8 Apparel stores --------------------------­ Postal receipts -·-·-------·---------··---·---------$ Automotive stores ---------------------------­+ 13.0 8.6 136,513 + 2.7 + 1.3 -25.7 Building permits ----·-----------------------------$ 1,939,515 Eating and drinking places -------+ 0.8 + 6.8 1,480 + 23.2 1.3 Air express shipments -------------------­ 5.3 1.6 Food stores -------------------------------­ Bank debits to individual accounts 0.5 Furniture and household stores ----­1.9 + 2u (thousands ) ----------------------------$ 141,776 + 2.3 General merchandise stores ---------­9.4 + 3.3 End-of-month deposits (thousands)• $ 120,445 + 6.5 + 1.5 Lumber, building material, and Annual rate of deposit turnover --­14.3 2.1 lA -32.4 -16.1 hardware stores -----------------------­ 2,500 + 31.6 5.7 Unemployment ------------------­Department and apparel store sales___ -10.7 + 4.2 Placements in employment -----­1,160 3.9 12.7 + 6.4 Postal receipts ------------------$ 657,778 + 13.0 Nonagricultural civilian labor force__ 62,650 + 1.2 + 0.1 - Air express shipments -------------------------­4,906 + 1.6 + 0.3 Bank debits to individual accounts FORT WORTH: (thousands) ----------------$ 1,047,407 3.2 + 2.0 Building permits ----------------------------------$ 4,325,137 -43.6 60.2 0.0 + 10.0 Er.d-of-month deposits (thousands)• $ 959,559 + 3.8 + 3.1 Retail sales ---------------------­ + 8.2 6.4 Annual rate of deposit turnover ----­13.3 7.0 0.0 Apparel stores ---------------------­ 5.3 Automotive stores ---------­+ 0.7 + 4.5 Unemployment (area) ------------------------­18,000 Eating and drinking places --------­ 2.6 7.4 Placements in employment (area) -----­3,896 9.6 -19.7 + 6.2 + 37.7 Nonagricultural civilian labor force Food stores ---------------------­ 337,400 + 3.8 + 0.6 General merchandise stores ------­2.8 + 6.4 (area) -------------------­ Export and coastal cars unloaded _ 3,733 -43.3 4.3 Lumber, building material, and 14.6 11.4 ?v.lanufacturing employment ---------------­66,050 11.2 1.5 hardware stores ----------------------­ Department and apparel store sales____ 1.6 + 4.9 Nonmanufacturing employment ------260,950 + 3.0 + 0.6 Postal receipts --------------------$ 423,894 + 20.4 + 0.4 Building permits ---------------------$ 2,944,529 + 8.9 + 64.2 Air express shipments ----------------­1,816 8.2 10.2 MARSHALL: Bank debits to individual accounts -2.6 4.7 Retail sales ----------------------------------­ (thousands) -------------------------$ 329,431 3.5 0.6 Department and apparel store sales_ -10.8 4.1 End-of-month deposits (thousands)• $ 308,639 + u + 0.8 Postal receipts __ __________$ 13,064 -10.3 6.0 Annual rate of deposit turnover __ 12.8 8.6 2.3 Building permits ---------------$ 168,563 + 18.4 Unemployment -------------------------­6,600 + 15.8 2.9 Bank debits to individual accounts Placements in employment ------------­3,522 -12.6 7.4 (thousands) --- ---·-------------------$ 9,929,776 11.3 4.6 -Nonagricultural civilian labor force_ 138,900 + L8 + 0.7 End-of-month deposits (thousands)• $17,287,046 -7.0 0.6 •Excludes dep08its to credit of bankB. *Excludes depoeita to credit of banks. CONDITIONS Percent change Percent change Nov. 1949 Nov. 1949 N ov. 1949 Nov. 1949 N ovember from f rom November from f rom City and item 1949 ov. 194 Oct. 1949 City and item 1949 Nov. 1948 Oct. 1949 LAREDO: PORT ARTHUR: Department and apparel store sales_ Postal receipts S Bank debits to individual accounts (thousands) S ¥.nd-of-month deposits (thousands) • $ Annual rat.e of deposit turnover -­Air ex-press sb.ipments -----­17 ,457 15,209 21,710 .5 226 -17.l + 7. 3.3 2.6 0.0 10.0 + + + + .0 1.3 2. 3.5 0.0 3. Retail sales Apparel stores Eating and drinking places ___ Food stores Furniture and household stores _ Lumber, building material, and hardware stores -------­ + S.8 -19.5 -0.9 + 29.9 + 20.2 + 25.9 + 1.9 8.9 7.5 + 20.3 + 20.4 + 29.3 Electric power coniumption (thousand k.w.h.) 3,204, 36 + 17.6 -16.0 Department and apparel store sales_. P ostal receipts __________ $ 28,267 -16.9 + 6.4 -+ 2.8 2.7 atural gas con.nmption (thousand cu. ft.) Tourists entering Mexico Tourist cars entering Me.x:ico 40,832 6,579 2,359 -11.1 + 8.8 + 1 .2 + 20.3 8.3 -3.2 Building permits _$ Air express shipments -----­Bank debits to individual accounts (thousands) _$ 907,929 192 32,171 4.5 5.2 + 3.2 6.4 End-of-month deposits (thousands)• $ 39,771 0.6 + 3.8 Annual rate of deposit turnover __ 9.8 5.8 9.8 LOCKHART: ~tail &ales Dcputment and apparel store sales_ Postal recei pta S Building permits S 2,107 18,400 9.8 6.7 2.3 -49.5 -17.7 -21.6 -19.7 -34 .1 Unemployment (area) Placements in employment (area) _ Nonagricultural civilian labor force (area) Export cars unloaded -----· Coastal cars unloaded 7,200 1,962 76,300 406 361 + 58.2 5.2 + 0.4 19.4 + 9.4 -14.6 + 18.5 + 0.8 -2.4 -14.3 LUBBOCK: Retail oales Apparel stores Automotive stores ---­--­Furniture and household stores + 24.1 .2 + 60.4 + 3.7 + 6.5 + 1.0 + 16.1 11.9 SAN ANGELO: Department and apparel store sales _ Postal receipts $ Building permits _$ 32,457 522,965 + 1.7 + 13.7 + 14.2 -3.8 -2.8 + 35.8 Lumber, building material, and hardware stores + 47.2 .6 Bank debits to individual accounts ( thousands ) _$ 33,244 + 7.5 0.3 Department and apparel store sales_ POl!ltal receipts $ 59,332 Iluildin1: permits $ 3,7 7 ,947 Air express shipments 410 Bank debits to individual accounts (thousands) ______ _ _ $ End-of-month deposits (thousands) • S Annual rat.e of deposit turnover 91,243 6 ,512 16.3 -7.3 + 19.5 + 2.0 + 14.7 + 1.4 + 16.4 + 6.0 -11.7 + 9 .3 -4.9 + 30.5 + 5.0 + 23.5 End-of-month deposits (thousands)• $ Annual rate of deposit turnover Air express shipments -­--­u nemployment Placements in employment ---­1'onagricu1tural civilian labor force_ 40,350 10.0 473 800 441 17,950 1.2 + 8.7 + 2.2 + 25.0 1.3 + 2.3 + 1.0 2.0 + 11.3 0.0 + 1.8 + 0.8 nemployment Placements in employment -­--1\onagricultural civilian labor force_ 500 72 26,300 -2 .6 + 11.4 -3.0 16.7 0.1 + 1.2 SAN ANTONIO: Retail sales + 2.7 - 6.7 Appar el stores - 4.9 - 3.4 PARIS: Automotive stores Drug stores + 23.1 + 6.8 -18.5 0.7 Retail aal.. 7.2 - 14.9 Eating and drinking places __ _ - 3.3 0.2 D•putment and apparel store sales_ Postal receipts _ _ ____ ___ .$ Building permits $ 12,155 52,316 + 7.4 .2 -15. + 2. + 91.7 Florists F ood stores Furniture and household stores __ -2.0 + 13.6 + 10.0 10.7 3.1 + 14.6 Bank debits to individual accounts (thousands) ________$13,729,651 Fnd-of-month deposits (thousands) • $16,061,418 Air express shipments ----­-H -1.2 + 3. + 41.4 -6.8 + 2.3 -29.3 General mercha1'dise stores ___ Lumber, building material, and hardware stores Department and apparel store sales_ -35.1 + 16.0 -25.2 -85.0 + 9.4 -24.5 Postal receipts -----­----$ 347,759 + 10.7 - 3.8 PLAINVIEW: Bu ilding permits Air express shipments $ 4,901,045 2,530 + 84.6 + 10.4 + 31.2 8.1 Retail aa1.. ---------­D~partment and apparel atore sales_ + 1.7 2.7 + 5.7 + 22.5 Bank debits to individual accounts ( thousands) $ 246,631 + 4.8 4.2 Postal receipts Building permits Bank debita to individual accounts 9,0 8 24 ,200 ( thOU3&nds) _ _ _____ _ $16,400,736 End-of-month deJ)08its (thousands) • $15,555,61 Air express shipments 67 1.1 + 4 .2 -12.7 -2.4 + 31.4 -11.0 -32.1 -6.2 + .5 + 26.4 End-of-month deposits (thousands) • $ Annual rate of deposit turnover _ _ nemployment Placements in employment -­-­N onagricultural civilian labor force_ 320,978 9.2 5,500 2,606 160,600 0.6 + 4.5 + 46.7 9.5 + 1.5 + 1.5 &.l 0.0 -10.6 0.0 •Excludes dep06its to credit of banks. • Excludes deposits to credit of banka. LOCAL BUSINESS CONDITIONS (Continued) Percent change Percent change Nov. 1949 Nov. 1949 Nov. 1949 Nov. 1949 November from from November from from City and item 1949 Nov. 1948 Oct. 1949 City and Item 1949 Nov. 1948 Oct. 1949 TEMPLE: WICHITA FAILS: Retail sales --·-··-··----------------­+ 19.0 + 2.3 Retail sales ----------------­-8.6 2.6 Department and apparel store sales__ + 4.0 -18.2 Department and apparel store sales.... -11.2 8.7 Postal receipts ----------------------------$ 19,202 + 19.6 + 3.3 Postal receipts --------------·--····--·--------$ 57,654 + 14.5 0.6 Building permits -----------------------·--------$ 292,150 + 32.7 -49.3 Building permits -------------------------$ 301,880 + 37.0 + 1.5 Air express shipments -------------------------49 -12.5 -9.3 Air express shipments -·-·-·---·----------­249 -28.2 u + Bank debits to Individual accounts (thousands) ---·----···-----------·-··----$ 56,591 0.1 2.0TEXAS CITY: End-of-month deposits (thousands )• $' 83,981 + 1.6 + + 0.7 Postal receipts ··-··--··------······--·-----------$ 9,306 + 6.0 + 5.8 Annual rate of deposit turnover ---·-·­8.2 1.2 + 2.6 Building permits -----·------------------------$ 169,453 Unemployment ------··-------------------­1,000 6.1 2.9 Bank debits to individual accounts Placements in employment -------------711 4.8 + 26.1 + (thousands) --------------$ 12,657 -27.0 -10.3 Nonagricultural civilian labor force___ 88,600 + 3.2 + 2.6 End-of-month deposits (thousands ) • $ 13,080 -26.4 -10.8 Unemployment (area) ------·-·-------····-----­2,900 + 38.1 0.0 •Excludes deposits to credit of banks. Placements in employment (area) ----·­676 + 14.4 + 16.0 Nonagricultural civilian labor force 52,650 -3.6 -0.1 Marketings of livestock, without exception, declined (area) ----------------------­Export and coastal cars unloaded ----412 + 56.7 -27.3 in both intrastate and interstate shipments during Novem­ber !\S compared to October 1949 and November 1948. TEXARKANA: Sheep and hogs registered the greatest declines on the + 12.0 -4.2 whole. Much of the decrease in shipments can be attrib­ Retail sales ----------------------------------····--·-Dcpartment and apparel store sales ... -16.4 -5.8 uted to the generally good condition of pasturage and Postal receipts -----------------·-··-·-·---·-·-····$ 32,244 + 14.2 -10.9 adequate rainfall in most of the State, while the price Building permits ··--------··--------··--------·--·--·-$ 56,474 -32.1 structure may account for part of the decrease. Air express shipments --------------------­111 + 42.3 + 20.7 Bn.nk debits to individual accounts Rail shipments of fruits and vegetables have declined (thousands) --·--·-·-·-----------··-------$ 25,812 3.8 6.2 2% on the whole from November 1948. Part of the End-of-month deposits (thousands)• $' 23,934 + 5.0 + 5.5 decline is due to last winter's freeze which killed an .A nnual rate of deposit turnover -----­7.9 7.1 8.1 Unemployment ---···----------------·-·-----­ 8,450 + 19.0 1.4 estimated two million grapefruit trees and which is Placements in employment ------------417 -31.6 + 2.2 Nonagricultural civilian labor force___ 86,150 + 2.3 + 0.3 RAIL SHIPMENTS OF FRUIT AND VEGETABLES" (In carloads) TYLER: Source : Compiled from_ reports of Bureau of Arrlcultural Economlca, Retail sales ---------------­ -7.8 7.2 U. S. Department of Agriculture Department and apparel store sales.... -15.5 6.1 Postal receipts -··-------------------------·---$ 48,275 + 18.0 + 7.3 Percent chan2e Building permits --------------------$ 245,669 + 9.5 -40.7 Air express shipments ---------------­292 + 28.1 -61.0 Nov. 1949 Bank debits to individual accounts Nov. Oct. Nov. from Item 1949 1949 1948 Nov. 1948 (thousands) ---------------$ 42,662 + 4.0 + 2.8 End-of-month deposits (thousands)• $ 50,530 -6.9 + 1.1 TOTAL -----------------8,497 1,082 3,568 -2.0 Annual rate of deposit turnover ___ 10.2 + 12.1 + 2.0 Beets -46.7 -----------------8 15 Eroccoli 4 9 -65.6 Cabbaire 60.0 WACO: -------------­ ------------37 3 74 ­ Retail sales + 4.6 u Carrots 45 -97.8 Apparel stores -8.3 -19.8 Eggplant 4 ----------------------27 5 Automotive stores -------­+ 21.7 2.9 ___________________l,484 Grapefruit 636 2,782 -46.7 Furniture and household stores __ -6.9 -6.8 Lettuce 16.9 ---·-------------------53 170 63 ­ Lumber, building material, and Mixed citrus 65 7 238 -72.7 hardware stores ---------------+ 13.5 + 15.6 Mixed citrus and vegetables__ 6 6 o.o Department and apparel store sales_ -8.7 -8.0 Mixed vegetables 402 4 418 -3.8 Postal receipts --------------$ 75,495 + 6.5 -10.8 Oranges 877 212 1,151 -67.2 Building permits --------$ 1,089,885 -6.8 Parsley 0.0 -------------------------1 1 Air express shipments ------226 + 11.9 -14.1 Peppers 274 19 218 + 25.7 ·--------------------­ Bank debits to individual accounts Radishes + 71.4 ---------------12 7 End-of(thou-mosanth nds) deposits ----(thou---sands)• --$ $ 70,550 56,003 + + 5.5 4.7 + + 0.4 8.2 Spinach so 11 Sweet potatoes --------------21 8 3 Annual rate of deposit turnover __ 9.6 + 1.1 + 7.9 Tenirerines 22 20 + 10.0 Unemployment ------------­1,200 -52.0 -20.0 28.4 Tomatoes ---------------------------------674 23 941 ­ Placements in employment -------------710 + 12.5 + 20.7 Other 13 Nonagricultural civilian labor force____ 44,300 3.9 -+ 0.6 • Fiiruree for oraqee and irrapefrult Include both •Excludes deposits to credit of banks. shipments. largely responsible for the 46% decline in grapefruit shipments from those of last November. In addition to cold weather, a shortage of harvest hands and the increased insect menace have further hampered the valley fruit and vegetable harvest. Rail shipments of turkeys in interstate commerce in· ~in_ November by 23% in comparison to November of last year. This increase is due largely to the fact that last year feed was relatively cheap while the price of turkeys remained high. This situation encouraged the farmers to stock heavily in turkeys with the result that the United States Department of Agriculture estimated 1949 to have the second highest inventory of turkeys in this country's history. Interstate shipments of eggs on the other hand declined during the month as compared to October 1949 and November 1948. Interstate receipts of eggs declined in the same comparisons, indicating that Texas is consuming more of its own eggs. (T1ie prleM nceh.. by farm.. coutitut• oae of the element& of ,_ _. '-· Cbaap. .. pricee ..... of primary CODCenl to ,__ ...t aD loaalaeaa-• ~-the ferm market. Farmers -.... __... with the pricee wlllch thq have to pay for com· _,... .... la famllF malnt-and production alDce theM ........... detenalae tWr ...i .._ ..) 1:Jie unadjusted index for farm prices rose six points ~themonth of November; however, the unadjusted mdex for the same month in 1948 was 36 points higher. The only percentage drops for the month were for potatoes, cotton, meat animals, and wool. Hogs brought the lowest prices since 1946 and were selling at $2.00 per cwt. less than in mid-October. However, the price received is still 60 cents above the $15.00 support level. Be:e£ cattle dropped 30 cents on the average. Average pnoes for beef and lambs dropped slightly. Only veal calf prices showed any increase over the preceding month. Texas farmers were receiving only $25.50 per bale for alfalfa on November 15 in comparison with $35.50 received on the same date of last year. INDEXES OF PRICES RECEIVED BY FARMERS (1909-H =100) Source: Bureau of Agricultural Economics, U. S. Department of Agriculture P ercent change Indexes (unadjusted) Nov. 1949 Oct. 1949 Nov. 1948 Nov. 1949 Nov. 1949 from from Nov. 1948 Oct. 1949 ALL FARM PRODUCTS _ 264 25 300 - 12.0 + 2.3 All crops 221 210 258 - 12.6 + 5.2 Food grains -----­216 209 245 - 11.8 + 3.3 Feed grains and hay __ 146 143 191 - 23.6 + 2.1 Potatoes and sweet potatoes 153 159 186 - 17.7 3.8 Fruit 138 28 52 Truck crops 344 239 859 - 4.2 + 43.9 Cotton 221 226 244 - 9.4 - 2.2 Oil-bearing crops _ __ 207 199 841 - 39.3 + 4.0 Livestock and products __ 822 322 362 - 11.0 Meat animals 855 357 420 - 15.5 0.6 Dairy products Poultry and egga Wool 258 ___ 301 817 254 300 823 276 882 286 --+ 6.5 9.3 10.8 + + 1.6 0.3 1.9 FINANCE Bank Debits (Since the bulk of buaiaeaa tranaactiona la Httled 'by cJaec1r, chansea la bank debits to individual account• repreaeat chaas• Ill the volume of transaction• and an a baalc meaaure of huaht... activity.) Bank debits decreased 0.2% from October and 1.5% from November 1948, continuing the downward trend that was reported last month. This movement indicates that total dollar volume of spending is slowly decreasing, either because of fewer purchases or because of lower prices. Of the 20 reporting cities, only 7 showed increases over October while 10 registered gains over November 1948. Corsicana (15.8% ), Lubbock (14.7%), and San Angelo (7.5% ) reported the largest increases over November of last year, while Beaumont (6.2%) and Port Arthur (5.2%) reported the largest decreases. The Bureau's seasonally adjusted index of bank debits stood at 459.4 in November as compared with 430.6 in October and 466.4 in November 1948. Bank Credit (Since bank credit Is essential to all buslneas, the condltloaa of tbe commercial banks and tbe Federal Reserve Banks are a •ll"llfi­cant Indicator of tbe state of busineu. Cbansea In tbe volume of credit that the bank• have outatandlns reflect th• husla... dtuadea, The coadltion of the Federal Reserve Ba.aka la like -ner ahowa what Is happening to credit available to commercial hanka.) Again in November, as in the two previous months, total loans and investments of banks in the 11th Federal Reserve District increased, thus putting more funds into the market and raising the demand for goods. The new totals exceed both last month (1.7%) and last year CHANGES IN CONDITION OF WEEKLY REPORTING MEMBER BANKS IN THE DALLAS DISTRICT• Source: Board of Governors of the Federal Reserve System P ercent change Nov. 1949 Nov. 1949 Nov. 1948 from from from Item Nov. 1948 Oct. 1949 Oct. 1948 ASSETS Loans and investments + 8.2 + 1.7 + 1.0 Loans + 3.5 + 4.5 + 1.3 Total U.S. Government securities _ + 12.9 0.9 + 0.7 Treasury bills ------­ + 8.5 + 57.6 Treasury certificates of indebted· ness ---­+ 50.9 1.7 + 0. 4 Treasury notes -------­-35.8 2.3 - 11.8 United States bonds - 2.4 1.1 0.4 Other securities -------­+ 9.1 + 8.1 + 0.8 Reserve with Federal Reserve Banks -16.2 1.9 0.5 Cash in vault -------­- 6.3 + s.o 5.9 Balances with domestic banks ___ + 2.7 1.6 + 8.1 LIABILITIES Total deposits (e.."es. over a like period of last year. Income tax receipts and FEDER.AL INTERNAL REVENUE COLLECTIONS Source: Ofllce of the Collector, Internal Revenue Service, Treaaury Department November July I-November 30 Percent Percent chanire District 1949 19'8 change 1949 1943 + 3.6 TEXAS $ 78,985,351 $ 78,189,696 1.0 $429,072,420 $414,740,590 + Income------·--------------------­ Employment._________________________ Withholding______________________ Other FIRST DISTRICT Income____ Employment_____________ ______ Withholding______ Other________ SECOND DISTRICT Income__·····---·------------------­Employment.-·--·-·····--------·----------· Withholding·----··--------------------­Other 16,734,275 9,022,311 40,7 43 ,865 I 2,484,900 41,027,676 9,060,426 4,0I2,889 2I,706,089 6,248,272 37,957,675 7,673,849 5,009,422 19,037,776 6,236,628 15,060,295 I0,28I,527 36,037,032 I6,8I0,842 41 ,542,24I 6,718,560 4,I43,934 21,477,744 9,202,903 36,647,455 8,341,735 6,138,493 14,559,288 7,607,939 + Il.1 -I2.2 + I 3. l -25.7 -1.2 + 34.9 -3.I + 1.1 -32.1 + 3.6 -8.0 -I8.4 + 30.8 -I8.0 208,160,948 80,889,859 183,652,672 6I,368,941 238,997,296 120,672,099 I4,172,974 72,544,771 31,607,452 190,075,124 82,488,8 49 16,716,885 6I,I07,90I 29,761,489 I81,461,945 31,63I ,3I7 127,611,238 74,046,089 224,115,168 IOl,602,973 I3,820,586 68,401,655 40,289,964 I90,625,422 79,848,972 I7,810,781 69,209,588 33, 756,I35 + I2.0 + 4.7 + 6.6 + 18.8 + 2.6 + 6.1 o.s + 3.3 + 8.2 -2.8 -17.1 -21.6 -6.1 -u.s while the total for the fiscal year 1949 increased 3.5% withholding taxes increased 11.1 % and 13.1 %, respec­tively, over November 194-8, while employment tables and "other" receipts registered decreases from November 1948 and for the fiscal year. The total sales of savings bonds to Texans, as well as sales of the different classifications, increased both from October 1949 and from November 1948. Total sales increased 4.8% over November of last year and 5.4% over last mC>nth. For the same periods, sales of Series "E" increased 2.0% and 4.0% and Series "F" and "G" 14.4% and 9.9%, respectively. Corporation Charten ~i.-el cerporatlon claart•• mM•uns the adclltione to the ..............tloa _. nftecte die etate of optimbm • .,...1m1am eflta•I--) The number of new corporations granted charters during November was 253 as compared with 302 issued during October. Merchandising ventures led with 49 and real estate is second with 33. COltPORATION CHARTEU ISSU!:.D BY CLASSIFICATIONS Source : Secretary of State NoT. Oct. Nov. Classification 1949 1949 1948 DOMESTIC CORPORA T IO NS Capitalization (thousands) ___$5,488 $6,879 $5,271 Number ....... ···--­--·---­ 253 302 228 Banking.finance ----··-­ 4 8 9 Construction __ 6 9 17 Manufacturing 21 24 18 Merchandioini:­ 49 57 71 Oil ----··------­ 8 16 9 Real estate 33 40 82 Transportation ----·--­ 3 9 AU otheni 78 88 39 Nonprofit (no capital stock) 52 51 31 FOREIGN CORPORATIONS Number 83 42 30 BuaineA Failures ~__.... of falluree uad tile aa-t ef llabllltlH Yar7 Ill· _....,, wltla die ,.......S~ ef lnaaa-. ... ntleet la a elmple uad ..._. mua• what la laappe..... te buelBHe.) The number of business failures reported in Texas r09e from 13 in October to 16 in November. This was almost double the number of failures occurring during November of last year. The average number of failures for the year to date is 18 as compared with 6 and 4 for corresponding periods of 194-8 and 1947, respectively. Life lmurance Sales (Slace tM Alee ef Ufe ...._ an rwlath•ely Mneltin te the ....... la --~d.eF _,. Jae ..... u a -.ef tlae -----> Life insurance sales in Texas continued to show a greater percentage increase over last year than do the sales in the entire United States. In November, Texas sales increased 12.9% over a year ago while United States sales increased only 1.9% for the same period. However, the increase over October 1949 was only 0.8% TRANSPORTATION Air (The total volume of commoditlee elalpped b,. air espreH le ODIJ' a v...-, small percent•I'• ef all commodltlH moved, but the rapid lncreue In the DH of thle type of traaeportatlon makee lte srowth 11f l'eneral Interest to buelneH.) To encourage additional business during the slack season, international air carriers have proposed a new round-trip fare with a 15 day return limit. This round­trip fare will be the regular one-way fare plus 10%, and it will be in effect from January 1 to March 15. It is expected that the Civil Aeronautics Board will approve this new rate. Generally speaking, the outlook for 1950 is exceedingly bright for the international air carriers. This is partially due to an expected one million visitors to Rome in observance of the Holy Year. AIR EXPRESS SHIPMENTS Source: Railway Express Agency Percen t change City Nov. 1949 Oct. 1949 N ov. 1948 Nov. 1949 N ov. 1949 from from N ov. 1948 Oct. 1949 TOTAL• --··--·-···-­26,408 27,876 26,387 + 0.1 - 5.3 At>ilene -··-····--··-···­Alpine ---------------------­Amarillo -----------------­ 258 16 587 210 11 614 166 17 450 + 55.4 -5.9 + 30.4 + 22.9 + 45.5 -4.4 Austin -----------------­- 576 499 502 + 14.7 + 15.4 Beaumont ---------­ 309 338 321 - 3.7 - 8.6 Big Spring -----------­ 54 88 47 + 14.9 -38.6 Brownsville -----------­ 432 391 469 - 7.9 + 10.5 B rownwood ---------­ 31 37 45 -31.1 -16.2 Brya n ----------­ 33 45 25 + 32.0 -26.7 Cor p us Christi -----­ 469 542 537 - 12.7 -13.5 Da llas -­-----------­Del Rio ----------­ 9,145 60 10,008 42 9,708 72 -5.8 -16.7 -8.6 + 42.9 E agle Pass ---­-------Edinburg ----------­El Paso -----------­ 28 11 1,480 33 10 1,499 24 10 1,201 + 16.7 + 10.0 + 23.3 -15.2 + 10.0 -1.3 Fort Stockton -----­ 19 25 19 0.0 - 24.0 Fort Wor t h ··--··-·­ 1,816 2,022 1,979 - 8.2 - 10.2 Galveston Harlingen --------­------­ 359 74 310 57 334 89 + 7.5 -16.9 + 15.8 + 29.8 Houston ---------­ 4,906 4,892 4,83 1 + 1.6 + 0.3 Kilgore ··--··-·--·· 29 39 60 -51.7 -25.6 Laredo ------­ 226 235 251 - 10. 0 - 3.8 L ongv iew -------­ 128 114 181 - 29.3 + 12.3 r .ubbock --------­ 41 0 431 402 + 2. 0 - 4.9 L ufkin --------McAllen -----­ 39 61 50 33 37 46 + 5.4 + 32.6 -22.0 + 84. 8 Marfa ------­ 8 13 22 -63.6 -38.5 Midland ------­ 169 201 222 - 23.9 -15.9 Mineral Wells -··-­ 43 24 36 + 19. 4 + 79.2 Mission ------------­ 7 8 12 -41.7 -12.5 Odess a ---------­ 186 168 217 - 14.3 + 10.7 Palestine -------­ 13 13 9 + 44 .4 0.0 P a ris ------------­ 41 58 29 + 41.4 -29.3 Pla inview -------­ 67 53 51 + 31.4 + 26.4 P ort Arthur --­ 192 186 201 - 4.5 + 3.2 San Angelo ··--··-·­San Antonio ----·­ 47 3 2,530 425 2,612 463 2,291 + 2.2 + 10.4 + 11.3 -3.1 S weetwate r ---­ 85 56 29 + 51.8 Temple ------­T exarka na ---­ 49 111 54 92 56 78 -12.5 + 42.3 -9.3 + 20.7 T yler --·---­ 292 749 228 + 28.1 -61.0 V ictoria -----­W aco ----­ 226 43 263 44 202 + 15.9 + 11.9 + 18.6 -14.1 Wichita Falls __ 249 238 347 - 28.2 + 4.6 118 compared with 1.7% for the nation as a whole. •The total includes cities not listed. Rail (The movement of irooda by rail la fundamental to all busineu operation•, and chanires In the number of frei1rht care loaded reflect loaalc chanires l·n the •olume of business. The commodity irroups are alirnlficant fer the Information they irlva on specific Industries. The miacellaneous •roup Include• manufactured goods and is generally ccmalflered a measure of the volume of trade. Merchandise I.e.!. shipments include the same type of goods shipped In smaller lots.) The number of cars of revenue freight loaded in the Southwestern District in November was 25.7% greater than in October, and 7.2% less than in November of last year. All freight classifications showed increases over October. These increases ranged from 5.6% for live­stock to 103.0% for coal shipments. In contrast to this, only two groups recorded increases over November of last year, grain and grain products (1.3%) and coal (6.5%). The largest decrease was registered for ore shipments ( 40.1 % ) . REVENUE FREIGHT LOADED IN SOUTHWESTERN DISTRICT (in carloads) Source: Car Service Division, Association of American Railroads Percent ch ange Item Nov. 1949 Oct. 1949 N ov. 1949 Nov. 1949 Nov. from from 1948 Nov. 1948 Oct. 1949 TOTAL ------------------­268,806 213,766 289,748 - 7.2 +25.7 Grain and grain products 26,601 19,109 26,260 + 1.3 +39.2 Livestock -----------­-----­----------­ 4,324 4,093 5,418 -20.2 + 5.6 Co11l -------------------------------------­ 24,126 11,883 22,656 + 6.5 Coke ----­------­----------·-··--·····­ 59 1 335 962 -38.6 +76.4 Forest p roducts ··········-­-·· 18,329 12,823 19,198 - 4.5 +42.9 Ore --------····-···--············-·­ 1,582 801 2,639 -40.1 +97.5 Merchandise (1.c.I.) ---------­ 24,524 20,704 27,160 - 9.7 +18.5 Miscellaneous ----------------­168,730 144,018 185,455 - 9.0 + 17.2 Water (Since a sizable volume of traffic moves into and out of the State a.,. water, 1tatl1tica on water-borne commerce are an Important In.. dlcator not only of transportation but of eenera] business activity.) Water-borne commerce at Texas ports continued to run below that of last year in spite of an increase of 70.2% in cargo freight handled at the Port of Browns­ville. Exports from Brownsville in particular have in­creased with cotton and zinc shipments to Europe both well over 500% higher than during November of last year. Imports of gasoline remained high as the govern­ment maintained its policy of importing gasoline and crude oil. These imports showed increases of 36.4% and 193.4% over October 1949 and November 1948, respec­tively. Motor (Although current data on trends In Texas motor transportation are not available, developments In this Important segment of the transportation industry are part of the business picture.) The volume of freight transported by motor carriers in October was down 1.6% from September but was 4.4% over October 1948. This data is collected by the Depart­ment of Research of the American Trucking Association, Inc., from 319 carriers in 42 states. Aggregate tonnage in October was 3,380,224 tons compared to 3,433,536 tons in September. Carriers in the Western District showed an increase of 1.9% over September and 7.4% over October of last year. LABOR Employment (Employment statistics are amonir the moat Important ladlcaton of Texas buslneSB and economic activity. Estimates of total em ployment In various Industries In Texas Include all employees both production workers and others, but ex.elude proprietors princiPlll executives, a·nd Individuals who are sell-employed. ' High employment levels were reported all over the State during November, although total nonagricultural employment lagged 0.3% behind that of October which was the high mark of the year to date. Decreases in em· ployment from October were not large, ranging from 0.9% in finance and service to 1.5% in governmental operations. The mining industry reported no change at all. Trade, transportation, and public utilities were the only large groups to register increases over last month. With the _added impetus of Christmas buying and travel, these busmesses can be expected to maintain present high levels of employment, at least through December. The Texas Employment Commission has predicted that an all. time employment record may be set during the last month of this year. Although most industries reported employment above the levels of November 194.8, substantial decreases in the manufacturing and "other" groups brought the total for the State 0.9% below last year. However, the unusually warm weather has helped to keep employment in many industries above normal seasonal levels. This is particu­larly true of the building trades and other groups con­nected with construction work. ESTIMATES OF EMPLOYMENT IN SELECTED INDUSTRIES IN TEXAS (in thousands) Source: Texas Employment Commission In cooperation with the Bureau of Labor Statistics. U. S. Department of Labor Percent change Nov. 1949 Nov. 1949 Nov. Oct. Nov. from from Industry 1949* 1949 1948 Nov. 1948 Oct. 1949 TOTAL ----·-·----·--·-··-·--·----·--1. 997. 3 2,004.1 2,015.9 -0.9 -0.3 Manufacturing ---·----------­ 334.9 338.9 358.0 - 6.5 -1.2 Durable goods ------------·· 135.5 138.0 149.9 - 9.6 - 1.8 Nondurable goods --------­ 199.4 200.9 208.1 - 4.2 - 0.7 Mining -----­----------------­ 101.9 101.9 100.7 + 1.2 0.0 T rans portation and public utilities --------------------­ 232.3 229.9 231.6 + 0.3 + 1.0 Trade -···----·----··--·-·-------·------­ 411.6 406.0 409.0 + 0.6 + u Finance and service --------­ 316.7 319.5 302.2 + 4.8 - 0.9 Government ----------·-----­Other ---------------------­ 265.0 334.9 269.0 338.9 256.5 857.9 + 3.3 -6.4 -1.6 -1.2 *Preliminary. Labor Force (t:atimates of the nonairrlcultural civilian labor force are mad• currently for the State's principal labor market areaa by the Te~ Employment Commission. Labor force data, lndlcatinl' the to... supply of labor in these areas, Include all employed worker•, aa well as all others who are available for jobs and who are wlllla1 and able to work.) The nonagricultural civilian labor force in 17 Texas labor market areas rose only fractionally (0.5%) during November from October but increased 2.1 %from Novem· her of the preceding year. This continuing year-to-year increase in the State labor force is in line with the rising labor · force in the entire nation. TEXAS BUSINESS REVIEW NONAGRICULTURAL CIVILIAN LABOR FORCE Houn and Earnings Source: Texaa Employment Commiaa!on (StatiatJca 011 laoura aad ...-..lap ah-cl•rly the effecta of the alalrt of the State'• ecM1omy and the •ea•ral upward mov-ent of was• alace V-J Day. Avera1• laourly earnl111a are computed layPercent change ..Yldla1 the total pay rolla by tile total mBD-houra worbd .. reportin1 eatabliabmenta.) Nov. 1949 Nov. 1949 Oct. Nov. from from Nov. Average weekly hours for the manufacturing industries 1949 1949 1948 Nov. 1948 Oct. 1949 Area fell to 42.1 for the month of November from an average TOTAL 1,404,430 1,397,910 1,375,280 + 2.1 + 0.5 of 42.6 during October. The average work week was also 18,400 18,250 18,950 -2.9 + 0.8 Abilene below the 42.8 hours reported in November of last year. Amarillo 36,900 36,900 36,000 + 2.5 0.0 Along with the decrease in working hours, average Austin 45,280 45,095 44,750 + 1.2 + 0.4 Beeumont-Port weekly earnings dropped from SSS.21 in October to Arth11r ----76,300 76,035 76,000 + 0.4 + 0.3 $54.60 during the current month with only a negligible Corp\lB Ch.risti _ 53,900 53,800 53,250 + 1.2 + 0.2 change in hourly earnings. This downward tendency Dallas 250,700 249,400 238,600 + 5.1 + 0.5 EIPuo----52,650 52,600 52,050 + 1.2 + 0.1 during the month was reflected by almost all industries Fort Worth ---138,900 138,000 136,500 + 1.8 + 0.7 surveyed, food, apparel, and lumber being the only Galveoton-Texas exceptions. City 52,650 52,700 54,600 -3.6 -0.1 Most nonmanufacturing industries also showed declines Ho\18ton-Baytown 337,400 335,500 325,200 + 3.8 + 0.6 - Lon1rview ----22 ,450 22,350 22,525 -0.3 + 0.4 during November. However, both the wholesale and the Lubbock ---26,300 26,000 27,100 -3.0 + 1.2 retail trade groups showed increases in number of hours San Angelo ---17,950 17,800 17 ,540 + 2.3 + 0.8 worked and in take-home pay. Again, hourly earnings San Antonio __ 160,600 160,600 158,200 + 1.5 0.0 Texarkana 36,150 36,050 35,350 + 2.3 + 0.3 remained substantially the same except in the crude petro­ Waco 44,300 44,050 46,100 -3.9 + 0.6 leum products industry which reported hourly earnings Wichita Falls --33,600 32,780 32,565 + 3.2 + 2.5 of 195.7 cents per hour as compared with 187.7 in October and 183.0 in November of last year. Ju it is inevitable that the labor force will continue The downward tendency shown in average hours and to increue, suggestions for coping with the situation earnings this month will probably be reversed during are already being advanced. The proposals include the December. The seasonal upswing in business activity creation of jobs through new industry, increased pur­will likely be reflected in increased working hours and ehuing p0wer through tax reductions which would result weekly earnings. The maintenance of high hourly wage in a rise in disposable income, and shorter working hours. rates should help keep take-home pay high indefinitely. HOURS AND EARNINGS IN TEXAS" Source: Texas Employment Commission in cooperation with the B11reau of Labor Statistics, U. S. Department of Labor lnd\18try A vera1re weekly hours Nov.t Oct. Nov. 1949 1949 1948 Average hourly earnings(in cents) Nov.t Oct. Nov. 1949 1949 1948 Ave.rage weekly earnings (in dollars) ov.t Oct. Nov. 1949 1949 1948 MANUFACTURING, TOTAL 42.1 42.6 42 .8 129.7 129.6 124. 1 64 .60 55.21 53. 11 Durable goods, total 42.3 42.8 43.6 127.2 126.0 122.6 53.81 53.93 53.45 Nondurable goods, total 42.0 42.4 42.2 131.4 132.2 125.1 55.19 56.05 52.79 Iron and steel._ 41.1 41.1 41.9 133.5 137.2 133.0 54.87 56.39 55.73 ~chinery, except electrics 39.3 41.3 45.3 149.8 145.7 139.9 58.87 60.17 63.37 Non!erro\18 metals 40.8 42 .8 41.4 158.6 156.7 148.7 64.71 67.07 61.56 Lumber and timber 46.4 45.4 43.7 93.5 93.3 89.1 43.37 42.36 38.94 Fumit11re and finished lumber products 43.4 43.6 44.7 95.1 94.5 94 .0 41.27 41.20 42.02 Stone, clay, and glass 42 .9 44.1 43.7 117.4 112.8 108.9 50.36 49.74 47.59 Texti!eo Appar F Paper and allied products Printinr a.nd publishing Chemicals Petrole11m refining 42.0 40.7 44.6 45.9 39.7 44 .9 38.5 42.6 40.6 44.3 46.1 40.2 45.2 40.0 42.0 38.4 44 .8 44.7 41.7 44.1 39.4 97.6 81.9 107.8 128.2 1 3.6 146.7 188.5 98.5 79.5 109.3 126.1 186 .1 144.5 190.4 100.2 73.2 103.2 124.4 174.9 136.3 1 3.2 40.99 33 .33 48.08 58.84 72.89 65.87 72.57 41.96 32.28 48.42 58.13 74.81 65.31 76.16 42.08 28.11 46.23 55.61 72.93 60.11 72.18 NONMANUFACTURING Crude petrolellm productst 39.9 42.1 39.4 195.7 187.7 183.0 77.89 79.02 72.10 Hotels 46.1 47.5 45.3 52.5 52.5 52.2 24.20 24.94 23.65 Pliblic uti]jties 39.8 41.0 40.2 130.5 128.2 121.1 51.94 52.56 48.68 Qurryingt 40.6 43.1 41.2 150.8 152.3 144.7 61.22 65 .64 59.62 Retail trod 51.9 42.0 39.9 87.7 87 .2 85.3 36.75 36.62 34 .03 Wboleoale tra 45.3 48.5 43.9 114.3 114.2 10 .5 51.7 49.68 47.63 • Figur.. do not cover proprietors, firm members, officers of corporations, or other principal e.xecutives. Manufacturing data, revised in lune lV.8, cover production workers ; nonmanufact11rin1r data cover all employees except 88 noted. tFtcurea COTer production workers onl7. U'nillminar,.--.ubject to revlaion upon receipt of additional reports. Placementa (The number of placements reported by the Te:ua Employment Commlaalon Indicates rouirbly the relationship of the aupply of aJUI the demand for Joba In various part• of the State. Placement• de net Include private placements In bualneaa and Industry, but only tlioae made tbrouirb tile State Employment Service. Fartbermore, tile number of placement• made should not be considered u addi­tion• to to'tal employment, alnce many of them repreaent ablfta from ene Job to another.) Placements in employment in November decreased 13.2% from the previous month and 3.6% from Novem· her a year ago in 17 labor market areas of the State. Seven areas reported increases from October 1949. Gains ranged from 1.5% in Abilene and 1.8% in San Angelo to 26.1 % in Wichita Falls. Seven areas recorded year·to-year advances. Corpus Christi and Amarillo marked up 28.7% and 55.8%, respectively. Declines in placement activity were as low as 31.6% in the Texarkana area. Areas reporting declines in placements from the preceding month as well as November a year ago included Dallas, El Paso, Fort Worth, Houston-Baytown, Longview, and San Antonio. PLACEMENTS IN EMPLOYMENT Source : Texas Employment Commission Percent change Area Nov. 1949 Oct. 1949 Nov. 1948 Nov. 1949 Nov. 1949 from from Nov. 1948 Oct. 1S49 TOTAL ----· 26,427 30,456 27,400 -3.6 -13.2 --·-------·--------­ Abilene ------------­----­--­·---­ 548 540 613 - 10.6 + 1.5 Am arillo -----------­----­- 1,320 1,580 847 +55.8 -16.5 Austin ----­------------------------­ 1,005 1,010 991 + u -0.5 Beaumon t-Port Arthur.. 1,962 1,729 2,070 - 5.2 +13.5 Corpus Christi -----­-----­-­ 1,580 1,798 1,228 +28.7 -12.1 Dall"" -------­-------­--------­ 4,541 6,894 4,959 - 8.4 -34.1 E l .Paso ----------------­ 1,160 1,329 1,207 - 3.9 - 12.7 Fort Worth ------------­--­ 3,522 3,805 4,029 -12.6 -7.4 Galveston-Texas City __ _ 676 583 591 + 14.4 + 16.o Houston-Baytown -------­ 3,896 4,850 4,311 - 9.6 - 19.7 Longview ------­-----·--­---­ 460 557 520 - 11.5 -17.4 Lubbock ------­----­------­ 872 873 783 + 11.4 -0.1 San A ngelo ----­--­ 441 433 447 - 1.3 + 1.8 San Antonio ---------------­ 2,606 2,915 2,881 - 9.5 - 10.6 Texarkana -------- ----­--­ 417 408 610 - 31.6 + 2.2 Waco ------­-----­ 710 588 631 +12.5 + 20.7 Wichita Falls ------­ ---­ 711 564 682 + 4.3 +26.1 Unemployment (Eatlmatea of unemployment In various areaa of the State are currently made by the Texas Employment Commlaaion. Data on the ..yment of unemployment benefits also provide a roul'b meuure of unemployment In Texu, altbouirb only employeea In eatablisbmento employlnir 8 or more workers for 20 or more weeks per year are covered.) Although the number jobless in the nation continued to increase from October to November of this year, unem­ployment in 17 labor market areas in Texas decreased 3.3%. However, an increase of 47.5% in the number unemployed for the State was reported from November 1948 tQ the same month of this year. Four areas (Amarillo, Galveston-Texas City, San Antonio, and San Angelo) reported no change from October while only Austin (7.4% ), Corpus Christi (14.3% ), Dallas (7.1% ), and Longview (3.2%) regis­tered increases in unemployment. Decreases for the same period were as high as 20.0% and 16.7% in the Waco and Lubbock areas. A shortage of field hands was reported as a definite threat to the tomato crop in the Laredo area during November, and the Texas Employ. ment Commission reported "unemployment of workers seriously seeking jobs is at a low level" in the San Antonio area. UNEMPLOYMENT Source: Texas Employment Commission Nov. Oct. Nov. Area 1949 1949 1948 TOTAL ------­-------------------­------­64,480 66,710 43,730 Abilene -------------­-------------------­ 800 900 700 Amarillo --------­--------------------------------------­ 1,300 1,300 1,400 Austin ----------------­--­--------------­ 1,230 1,145 1,300 Beaumont-Port Arthur ---­---------------­ 7,200 8,435 4,550 Corpus Christi --------­--­---------------­ 2,4 00 2,100 1,400 Dallas ----------­-------------------­---­---­ 7,500 7,000 4,500 E l Paso -----------------------------­-------------­ 2,500 2,650 1,900 Fort Wor th ------------------------------------­ 6,600 6,800 5,700 Galveston-Texas City -------------­ -2,900 2,900 2,100 Houston-Baytown --------------------­18,000 19,000 7,200 r .ongview -------­-------­·---------------­ 1,600 1,550 1,425 L ubbock --------------------------------­-----------­ 500 600 700 San A ngelo ------­------------­------------­ 800 800 640 San Antonio -------------­---­ 5,500 5,500 3,750 Texa rkana --­-­--------------­----­ 3,450 3,500 2,900 Waco -------------------­---­----­ 1,200 1,500 2,600 W ichita F alls ------------------------------­ 1,000 1,030 1,065 lnduatrial Relationa (A knowledBa of current development• ID IDduatrlal nlatfau II neceHary to an underatandlnir of the State'• labor plctun.) Certainly one of the most important developments to come from the recent major strike settlements is the nationwide pattern which evolved. Those who hoped to see pattern-settlement disappear with the war have reason to he disappointed. It looks as though a company that wants to depart from a pattern can do so only by giving something more than the established pattern has given. Another development which has become somewhat more firmly established is that unionized firms do not try to operate without contract settlement. There was no appeal to the employees to defy the union and stay on the job. The strikes were accepted as shutdowns. Compa· nies no longer appear willing to get involved in the violence attending an effort to work while a strike is on. The era of military mobilization for a strike appears to he over. The workers are merely told to go home and wait until they are called back. The third significant factor is the bargaining over an abstract issue. Always before bargaining has taken place over an issue concerning immediate benefits to workers, i.e., something tangible in the present. Striking and bargaining over pensions at 65 represents a departure from the old concepts followed by American unions. In the not too distant past pensions have been voted down for more immediate benefits. Does this indicate a change in thinking on the part of the individual worker who is now more cognizant of old age needs, or does it represent the feeling that public ()pinion was against higher wages and here was a means of getting something, even though not as desirable? These three developments represent significant ti'e~ds in union-management relationships and activities which will hear increased study and observation. · PRICES Wholesale Prices (0-.-.. tile ~.. __..... .... lrzf ----... ,..._ t8 ..... -· dw tile ...,.. of prt-bu aa ..._._.... ._. • '"6tL n.. ....,. el .......... prlcee -.,u..1 bp tile u.tW Sta-a-et ........ Statlstlce le tbe moet .,_pre1a-1Te -el ,..._ clomopa paNhW la t1M Ualt.. Stat-.) Minor variations upward and downward characterized the movement of wholesale price indexes during Novem­ber according to data released by the Bureau of Laho_r Statistics. These small deviations resulted in no appreci­able change in the index for all commodities. Livest~ck prices which declined 3.1 % and meat pnces which dropped 2.6% from the November levels showed the greatest decreases-all other declines being less than 1.0%. The only commodity group price index to rise more than 1.0% was that for grains which showed an increase of 5.8% during the month. When compared with prices at the end of November 19'8, all commodities, and the over-all index as well, were lower, ranging from 2.1 % for hides and skins to 19.4% for livestock. These 12-month price decreases were about the same as those recorded on November 1. The weekly wholesale price index of the Bureau of Labor Statistics was 151.4 for the last week of November, euctly the same as four weeks earlier hut 7.6% below a year ago. The prices of farm products generally declined during the month of November while the prices of manufactured goods increased. The 9teadiness of prices of manufactured goods may readily be attributed to the upswing in the demand for goods during the past month. The prices of industrial commodities generally reflect a change in the business situation and, even in periods when the long term move· ment is downward, they may rise as a result of a strong increase in the volume of business. The recently an- INDEXES OF WHOLESALE PRICES IN THE UNITED STATES (1926 =ioo) Source: Bureau of Labor Statistics, U. S. Department of Labor P ercent change Group Nov. 29 1949 Nov. 1 1949 Nov. 30 1948 N ov. 29, 1949 f rom N ov. 30, 1948 Nov. 29, 1949 from Nov. l, 1949 ALL COMMODITIES __ 151.4 151.4 163.9 -7.6 0.0 Farm product.. ___ 155.3 156.3 180.8 -14.1 - 0.6 Foods - 157.9 158.7 173.6 - 9.0 - 0.5 All commodities otber than !arm and !oods_ 145.1 144.6 153.5 - 5.5 + 0.8 Textile products __ 137.6 136.6 147.1 - 6.5 + 0.7 Fuel and ligbting material 180.4 180.6 137.5 - 5.2 - 0.2 Metals and metal Producta 169.2 168.8 173.7 - 2.6 + 0.2 Building material __ 189.2 188.4 203.1 - 6.8 + 0.4 Chemical.a and allied Producta 116.5 115.7 133.6 -12.8 + 0.7 Special indexes Grains 162.3 153.4 171.8 - 5.5 + 5.8 Livestock 187.8 193.8 233.1 -19.4 - 3.1 .Meata 211.2 216.9 237.3 -11.0 - 2.6 Hid.. and 1ki111 ___ 202.9 204.0 207.3 - 2.1 - 0.5 nounced increase in steel prices is an example of the forces that are still working on the price structure, although the pressure towards higher prices has become much weaker during 1949. The more recently announc~ cut in the price of 1950 Buicks reflects the opposite tendency, which for the past year and one-half has been pushing the general level of prices gradually downward. The chart on page 3 shows the persistent downward trend of prices that has been under way since 1948, and it seems unlikely that the stability shown in the price index for the month of November is more than a tempo· rary slowing down of the trend towards lower prices. The history of prices after every major war has been the same in that a long period of decline followed the price inflation that accompanied the war. There is still no reason to bP.lieve that the course of the general level of prices after this war will he difierent from the general pattern of former wars. Consumers' Prices (All lacome 6sures must be used ._ eonaec:tlo• .wltll a •••are of chance• in conaumera' pricea, since the purc.haa1n~ power of i•· come ia more slsnificant than the assresate amount ID dollara. Ti.. cost of livinc, as measured by indes.ea of conaumer4' pricu, la of Yitai importance to all hu1ineHmen and eonaumera.) The index of consumers' prices compiled for Houston by the Bureau of Labor Statistics was 0.8% higher at the middle of November than it was a month earlier, while prices in the nation as a whole rose .0.1 %. T~e rise in the index for Houston resulted from mcreases m all the major groups except clothing, which declined 0.3%, and the index of fuel, electricity, and ice prices, which showed no change. In comparison with November 1948, all groups are lower except rent and the miscellaneous items. The index of rents was 13.3% higher than a year earlier, and the miscellaneous items were up 1.5%. The index number based on all items in November was only 0.3% below the November 1948 level and 1.2% below the peak reached in September 1948. A comparison of the index of consumers' prices with the index of wholesale prices shows clearly the lag that typically occurs in retail prices after a change has occurred in prices at wholesale. It should also be noted that some of the increase in the index of consumers' prices has resulted from the rise in rents, reflecting the readjustment that has been taking place following the years of rent control. INDEXES OF CONSUMERS' PRICES IN HOUSTON (1936...J9 = 100) Source: Bureau of Labor Statistics, U. S. Department of Labor Percent change Group Nov. 1949 Oct. 1949 N ov. 1949 N ov. 1949 Nov. f rom from 1948 N ov. 1948 Oct. 1949 ALL ITEMS 173.3 172.0 173.9 -0.3 + 0.8 Food 212.7 212.4 217.6 -2.3 + 0.1 Clothing 199.3 199.9 212.S -6.1 -o.a Rent ------·----137.6 180.6 121.5 +13.8 + 5.4 Fuel, electricity, and ice -98.1 98.1 99.7 -1.6 0.0 Housefurnishings ---186.2 185.7 198.8 -6.8 + 0.3 Miscellaneous --155.8 156.6 163.6 + 1.6 + 0.1 UNITED STATES, ALL ITEMS 168.6 168.6 172.2 -2.1 + 0.1 An Index of Natural Gas Production By John R. Stockton, Professor of Business Statistics, and Leo S. Goodman, Research Associate, Bureau of Business Research The importance of natural gas in the economy of Texas has long been understood, and its significance to the industrial development of the State has been emphasized many times.* The Bureau of Business Research has recognized that its coverage of the monthly changes in business activity in the State was incomplete as long as it did not include the production and sale of natural gas. This issue of the Texas Business Review introduces a new monthly index of natural gas production in Texas, based on data compiled by the Oil and Gas Division of the Railroad Commission. All producers of natural gas in the State report to the Oil and Gas Division giving their monthly production in thousands of cubic feet (MCF) at a pressure of 14.65 pounds per square inch and a flowing temperature of 60 degrees Fahrenheit. The reporting schedule also shows the ultimate disposition of the gas; that is, whether the gas was lost in extraction, used for maintaining pressure in oil wells, recycled, used to manufacture carbon black, vented, or delivered to transmission lines. The figures for total production in the State have been used in the computation of the index. It is hoped eventually to publish an index of natural gas consumption in Texas. Total gas consumption would reflect the level of business of the gas utilities in the State, while consumption by industrial users would serve as an indirect measure of change in industrial activity. The average monthly production of natural gas in Texas for the years 1935 through 1948 is given in the following table both in thousands of cubic feet and as a percentage relative with the five year average 1935­39 equal to 100. These percentage relatives are referred to as "index numbers" and they measure the relative level of natural gas production each year in comparison with the five year period 1935-39. For example, the average monthly production of natural gas in 1948 was *See "'The Natural Gas Industry of the Southwest and Its Significance to Industrial Development," by Keith W . Johnson, Monthly Business Review of the Federal Reserve Bank of Dallas, March 1, 1949. 287,400 thousand cubic feet, which was computed to be 372.5% of the average monthly production in the base period. This means that natural gas production in 1948 was nearly four times greater than in the period 1935-39. The index number for each of the other years is inter· preted in the same manner, and the whole series of indexes gives a complete picture of annual production since 1935. PRODUCTION OF NATURAL GAS IN TEXAS, 1935-49 Source: Oil and Gas Division, Texas Railroad Commission Year 1935 1936 1937 1938 1939 1940 1941 1942 1943 1944 1945 1946 1947 1948 1949 Average Monthly Production (thou. cu. ft.) 53,530 61,213 71,213 91,640 108,192 128,674 151,429 159, 735 181,838 206,475 221,848 230,745 246,458 274,874 287,400* Annual Index (1935-39=100) 69.4 79.3 92.3 118.8 140.2 166.8 196.3 207.0 235.7 267.6 287.5 299. 1 319.4 356.2 372.5• •8 months. The outstanding characteristic of the index is the steady increase in production that has occurred since 1935. Irregular fluctuations from month to month are shown, but in general it may be said that the production of natural gas in Texas has continued to rise at an unbroken rate throughout the period covered by the index. The close correspondence between the increase in the pro· duction of natural gas and petroleum can be seen by comparing the index of natural gas production with the index of crude petroleum production shown in thr. Natural Resources section of the Review. INDEX OF NATURAL GAS PRODUCTION ADJUSTED FOR SEASONAL VARIATION ~~ic~__'9~3~~9·~~~ ENT~~~~~,--~~,-~~-,-~~-.--~~5-3~~100~~~--.~~~.-~~..,-~~-.~-P_ER,c~~b 50 ~1939~ ,9_0_L~-___J~-9-~J__~-_94~J__~-5__L~-~~9477=-L--:::~_0_ __~-.4_1941 ,-42,943_J~-,--4,94_.946=-1~~,7,94~9.~~==~·9~4:9::_5 1938 TEXAS BUSINESS REVIEW The monthly values of the index of natural gas pro· duction. First, it was necessary to adjust production for duction are given in the table below and are shown the varying lengths of the months. graphically by the chart on the preceding page. The The second adjustment made in the monthly data was monthly indexes were computed in the same manner a~ to allow for the fluctuation from month to month that the annual indexes by expressing each month as a per­regularly occurs with the seasons. For example, since centage of the average month in the five years of the much of the gas produced in .Texas is used for heating, base period. However, two additional steps were neces­it is not surprising that production should increase during sary to measure accurately the monthly changes in pro· the winter and decrease in the summer months. INDEX OF NATURAL GAS PRODUCTION IN TEXAS Adjusted for seasonal variation (1935-39=100) 1938 1939 1940 1941 1942 1943 1944 1945 1946 1947 1948 1949 January ___ 114.6 132.8 160.8 184.5 222.6 223.4 249.8 283.0 296.1 312.8 342.1 383.7 February --­March ____ 102.8 117.6 119.7 132.2 152.0 163.7 167.1 190.6 196.7 215.7 203.8 235.4 234.4 260.1 257.0 281.3 265.9 291.7 286.2 322.2 313.5 350.1 341.0 379.5 April _____ 118.5 134.5 161.3 184.8 192.7 220.2 255.1 286.3 287.0 332.8 338.7 367.9 May_____ 119.2 137.9 164.2 192.1 200.4 239.5 268.3 301.2 308.3 302.7 359.2 378.7 June 112.6 135.1 162.9 191.6 197.2 230.2 261.0 291.1 299.2 310.1 351.4 369.2 July ____ 120.0 143.2 16 .3 200.8 204.4 244.5 280.0 304.0 316.0 329.2 364.2 381.4 August ___ 122.8 133.5 171.5 205.4 212.7 245.7 282.8 279.7 312.8 331.3 367.4 379.3 September___ 119.8 144.0 172.4 200.4 207.2 236.l 262.5 2 8.4 302.1 323.6 358.4 370.1 October----· 124.0 157.4 178.1 211.6 214.3 249.6 287 .8 289.7 309.1 326.8 379.6 November __ 123.8 156.3 172.6 211.7 205.8 248.4 275.5 286.7 301.3 325.5 371.8 December ___ 130.6 157.5 175.1 217.1 213.6 254.5 297.2 305.0 303.9 332.3 382.8 TEXAS BUSINESS REVIEW Puhli$hed monthly by the Bureau of Business Research, College of Busine s Administration, The University of Texas, Austin 12, Texas Material contained in this publication is not copyrighted and may be reproduced freely. Acknowledii?ment of source will be aporeciRtereliminar:v.