January 1972 Bureau of Business Research • The University of Texas at Austin TEXAS BUSINESS REVIEW VOL. XLVI, No. 1, JANUARY 1972 Editor, Stanley A. Arbingast; Associate Editor, Robert H. Ryan; Managing Editor, Graham Blackstock Editorial Board: Stanley A. Arbingast, Chairman; John R. Stockton; Francis B. May; Robert H. Ryan; Robert B. Williamson; Graham Blackstock CONTENTS Articles 1: The Business Situation in Texas, by Robert M. Lockwood 5: Texas Construction: Continuing Homebuilding Growth, by N. Carroll Mohn 8: A Look at the Movie Industry in Texas, by James R. Buchanan Tables 2: Selected Barometers of Texas Business 3: Estimates of Nonagricultural Employment in Texas 3: Business-Activity Indexes for Twenty Selected Texas Cities 5: Estimated Values of Building Authorized in Texas 6: Building Authorized in Texas Standard Metropolitan Statistical Areas: SMSA Total as Percent of all SMSA Construction 7: Mobile vs. Modular Housing: Monthly Financing Costs 16: Local Business Conditions Barometers of Texas Business (inside back cover) Charts 1: Estimated Personal Income, Texas 3: Comparison of Consumer Prices and Wholesale Prices, United States 4: Industrial Production, Texas 4: Industrial Production: Durable Manufactures, Texas 4: Industrial Production: Nondurable Manufactures, Texas 6: Texas Residential Construction, 1958-1971: Single­Family and Multiple-Family Units by Percent of Total Value 7: Total Building Authorized, Texas 7: Nonresidential Building Authorized, Texas Photographs 8: Martha Mansfield and Wilfred Lytell in The Warrens of Virginia 9: Mary Astor, Arriving in San Antonio, August 19, 1926, To Film The Rough Riders 9: The Old Exposition Building Set under Construction for The Rough Riders 10: Famous Director William A. Wellman Directing a Scene of Wings 10: Director Peter Bogdanovich Discussing the Fight Scene in The Last Picture Show with Timothy Bottoms BUREAU OF BUSINESS RESEARCH Business Research Council: James R. Bright, Abraham Charnes, Lawrence L. Crum, Jared E. Hazelton, George Kozmetsky Director: Stanley A. Arbingast Assistant to the Director: Florence Escott Statistician: John R. Stockton Consulting Statistician: Francis B. May Systems Analyst: David L. Karney Cooperating Faculty: C. P. Blair, Charles T. Clark, Lawrence L. Crum, Clark C. Gill, William T. Hold, Gary L. Holstrum, Robert K. Holz, Jerry Todd, Ernest W. Walker, Robert B. Williamson Administrative Assistant: Margaret Robb Research Associates: Graham Blackstock, Earlene Call, Margaret Fielder, Ida M. Lambeth, Robert M. Lockwood, Carroll Mohn, Robert H. Ryan, Barbara Terrell, Charles P. Zlatkovich Research Assistant: Edward Hildebrandt Statistical Associate: Mildred Anderson Statistical Assistants: Constance Cooledge, Glenda Riley Statistical Technician: Kay Davis Computer Programer: Lawrence Grossman, Jr. Cartographer: Charles W. Montfort Librarian: Merle Danz Administrative Secretary: Mary Ann Greatly Administrative Clerk: Margaret Eriksen Senior Secretary: Linda Brenner Senior Clerk Typists: Deborah Gozali, Linda Lunsford Senior Clerks: Robert Jenkins, Salvador B. Macias Clerk: Robert Deane Offset Press Operators: Robert Dorsett, Daniel P. Rosas Published monthly by the Bureau of Business Research, Graduate School of Business, The University of Texas at Austin, Austin, Texu 78712. Second-class postage paid at Austin, Texas. Content of this publication is not copyrighted and may be reproduced freely, but acknowledgment of source will be appreciated. The views expressed by authors are not necessarily those of the Bureau of Businet1 Research. Subscription, $4.00 a year; individual copies 35 cents. Reprints of feature articles are available from the Bureau at ten cents each. The Bureau of Business Research is a member of the Association for University Business and Economic Research. THE BUSINESS SITUATION IN TEXAS Robert M. Lockwood Of the thirteen Texas economic indicators for which November data were available by the end of December, only six moved favorably from their October levels. Three of these seasonally adjusted indexes failed to change, and four moved to positions which compared unfavorably with those occupied in October. In a comparison of the January-November averages of these indexes the 1971 data exhibited improvement in seven of the thirteen indexes and deterioration in four; two of these series failed to change appreciably between January-November 1970 and the same period in 1971. Reflecting the flow of funds to consumers, estimated personal income in Texas during November, adjusted for seasonal influences, increased by $126 million, rising from $3,575 million to $3,701 million, a gain of 3.5 percent, or slightly less if adjusted for price increases. The comparable gain in the average of the eleven monthly figures so far available was about 7. 7 percent, the seasonally adjusted equivalent of about $254 million. Adjustment for infla­tionary influences, however, would cut the real gain to something like $100 million, or about 3 percent of the January-November 1970 averages. Of the other four business indicators which changed favorably during both November and January-November 1971, the most generally significant is the seasonally adjusted index of bank debits. Advancing 6.1 percent (adjusted for seasonal but not price influences) during November, bank debits for the first eleven months of 1971 averaged about 13 percent above the comparable figure for 1970. Adjustment for inflationary pressure would reduce the real increase to 8-9 percent, a respectable if not sensational gain in this series. The largest increases were attributable to the seasonally adjusted index constructed on reported urban building­permit issues in Texas. Adjusted for seasonal aberrations but not price changes this index gained 36 percent in November and 26 percent during the first eleven months of 1971. Although the larger share of the November gain was accounted for by nonresidential construction authorized, the big increases in this sector throughout 1971 have generally reflected revitalized homebuilding. Even with allowance for some rather considerable price increases in the construction industry between November 1970 and November 1971, the real growth of that portion of the ESTIMATED PERSONAL INCOME, TEXAS Index A dju&ted for Seasonal Variation -195 7-1959=100 1964 1965 1966 1967 1968 1969 1970 1971 SOURCE: Quarterly measures ofTexas personal income made by the Office of Business Economics, U.S. Department of Commerce. Monthly allocations of quarterly measures, and estimate~ of most recent months, made by the Bureau of Business Research with regression relationships of time, bank debits, and insured unemployment. JANUARY 1972 construction market reflected in reported urban building­permit authorizatibns approximated close to 20 percent through November 1971. Although nonresidential construc­tion authorized during this period gained only some 5 percent over the January-November 1970 average, residen­tial construction authorized experienced a real increase of about 37 percent in value authorized through the first eleven months of the year. On the basis of the increase over 1970 in total unadjusted dollar values of estimated urban construction authorized during January-November 1971 , new construc­tion accounted for an estimated $517 million, of which residential permit issues accounted for $418 million, or about 81 percent. One-family housing issues totaled an estimated $321 million through November 1971, 62 per­cent of the total authorizations for all new construction. The other two indicators which gained during both November and January-November 1971 were the indexes reflecting total and industrial electric-power use. Total electric-power use gained 1 percent in November and averaged 11 percent higher during the first eleven months of 1971 than during the comparable period of 1970. Industrial electric-power use, according to the seasonally adjusted index, advanced 5 percent in November from the October level and 8 percent for the January-November period. One other index, average weekly hours in manufactur­ing, advanced in November, and one other, average weekly SELECTED BAROMETERS OF TEXAS BUSINESS (Indexes-Adjusted for seasonal variation-1957-1959=100) Percent change Year-to date Year-to­date Nov 1971 average 1971 Index Nov 1971 Oct 1971 average from 1971 Oct 1971 from 1970 Estimated personal 257.9p 249.lpincome 246.7 4 8 Crude-petroleum 111.7p 113.1pproduction 122.0 1 -2 Crude-oil runs to stills 140.0 144.3 141.6 3 s Total electric-power 322.lp 319.Spuse 297.2 11 Industrial electric- power use 266.3p 253.Sp 248.0 s 8 Bank debits 370.2 348.8 348.S 6 13 Urban building permits issued 278.9 205.4 244.S 36 26 New residential 261.3 211.0 218.S 24 42 New nonresidential 291.S 192.9 284.8 SI 10 Total industrial production 181.9p 179.0p 179.4 2 Total nonfarm em­ ployment 148.2p 147.9p 147.4 •• •• Manufacturing em­14S.8p 146.3pployment 145.9 •• -s Total unemployment 130.3 117.2 121.S 11 20 Insured unemployment 101.3 100.0 100.1 1 23 Average weekly earn­1s8.sP 1s8.2Pings-manufacturing 157.1 •• s Average weekly hours­98.7p 98.1 pmanufacturing 98.9 •• P Preliminary. • • Change is less than one half of 1 percent. earnings in manufacturing, improved its January-November average. In each of the remaining instances the barometers of Texas business behavior failed to improve or deteriorated during both November and January-November, in compari­son with October 1971 and January-November 1970. A seasonally adjusted gain of 0.6 percent was recorded in average weekly hours in manufacturing during Novem­ber. For 1971 through November the average of this index was about the same as for the first eleven months of 1970. The index reflecting average weekly earnings in manufactur­ing also failed to change appreciably during November, although the seasonally adjusted figure for January-Novem­ber 1971 was 5 percent higher than the comparable number for the year before. The least favorable of the thirteen indexes for November 1971 and January-November 1971 were those concerning employment and the oil industry. Although the average seasonally adjusted index of crude-oil runs to stills during January-November 1971 was 5 percent higher than that for the same period in 1970, the comparable figure for crude-oil production was unfavorable, as were the Novem­ber 1971 indexes of crude-oil production and crude-oil runs to stills. According to the seasonally adjusted index, crude-oil production in Texas declined 1 percent in November 1971, and the first eleven months of 1971 fell off 2 percent from production during the same period in 1970. Crude-oil runs to stills, as they are reflected in the seasonally smoothed index, slid 3 percent from the October 1971 level. Adjusted for seasonal influences, the index of total ilonfarm employment in Texas remained unchanged in November 1971, even in comparison with the cumulative average through November 1970. According to the unad­justed figures gathered by the Texas Employment Commis­sion for nonfarm employment in Texas in November 1971, the workforce experienced a net gain over October of 7, 700 employees, reflecting the grosS addition of 9,400 nonmanu­facturing workers and the decline of 1, 700 in manufactur­ing payrolls. From November 1970 to November 1971, according to the raw data, the nonfarm labor force in Texas gained 30,100 workers. The addition of 42,900 workers outside manufacturing more than offset the shrinkage of 12,800 employees on manufacturing payrolls. The aircraft industry lost 18,300 workers during this twelve-month period; the net gain of 5 ,500 hired elsewhere only partially offset the inroads of manufacturing unemployment in the transporta­tion-equipment industry. Nonmanufacturing employment grew-with no allow­ance for seasonal adjustment-between November 1970 and November 1971 despite the net decline of 14,800 workers in the mining, contract-construction, and transportation and public-utilities industries. Governments were the most prolific employers during this period, adding 21,900 em­ployees-11,400 at the local level, 8,700 in state offices, and 1,800 to federal payrolls. Wholesale and retail trade employed 18,400 more persons in November 1971 than in the previous November. The largest gross addition, 11, 700, was provided by retail trade. The service industries gained 9,200 workers, and TEXAS BUSINESS REVIEW ESTIMATES OF NONAGRICULTURAL EMPLOYMENT finance, insurance, and real-estate employers augmented IN TEXAS their payrolls by a net 6,600 persons. Total unemployment gained 11 percent in Texas during Employment Percent change November, and insured unemployment 1 percent, according NovP Nov 1971 Nov 1971 to the seasonally adjusted indexes. Total unemployment 1971 from from advanced its year-through-November average by 20 percent Industry (thousands) Oct 1971 Nov 1970 as of November 1971, and insured unemployment jumped Total nonagricultural 23 percent during the same period. employment 3,682.3 ** The Bureau of Business Research maintains monthly Manufacturing 706.0 ** 2 indexes, based on bank debits and adjusted for seasonal Durable goods 372.9 •• 3 variation and changes in the price level, for twenty selected Lumber and wood products 22.3 ** 6 Texas cities. Data on which these indexes are based are Furniture and fixtures 18.1 9 supplied by the Federal Reserve Bank of Dallas. Only four Stone, clay, and glass products 30.3 ** 3 of these cities failed to exhibit improvement in November Primary-metal industries 33.6 -2 3 Fabricated-metal products 54.8 ** 1 Machinery, except electrical Oil-field machinery 68.5 27.8 •••• 2 3 COMPARISON OF CONSUMER PRICES AND WHOLESALE PRICES, UNITED STATES Electrical machinery IAdH A4)•dff /•r Seu•••I J'ui•liH -1957­1959 • 100 and equipment 45.6 ** 8 US U5 Transportation equipment 70.7 1 -15 /'140 140 Aircraft and parts 42.3 -2 -30 /I/ Instruments and related 135 135 products 14.1 ** 8 / Other durable goods 14.9 - 1 ** 130 130 Nondurable goods 333.1 ** 1 CONSUMER PRICES/ 112 5 25 Food and kindred products 85.7 - 1 3 / · ~-· Meat products 17.3 ** 5 ,1' .....,..­120 20 Textile-mill products 6.6 2 8 /"' Apparel and fabricated 1115 15,.,..,. ' ­-- textiles 64.2 ** 3 110 ' ' 10 Paper and allied products 16.2 - l 4 ~ ,-'W°H OLESAL E PRI CE S 1 Printing and publishing 41.5 ** 2 i­ __.... ---"" ... ,... , 1 Chemicals and allied products 62.4 ** 2 .,___ - ' -,• Industrial chemicals Petroleum and coal products 35.2 38.9 ** •• 2 ** 100 - ..... 100 " Other nondurable goods 17.6 2 1961 " 1962 1963 1964 1965 1966 1967 1961 1969 1970 1971 Nonmanufacturing 2,976.3 ** Mining 102.8 ** 2 Crude petroleum and natural gas 96.5 ** 2 BUSINESS-ACTIVITY INDEXES FOR 1WENTY SELECTED TEXAS CITIES Contract construction 212.4 3 (Adjusted for seasonal variation­1957-1959=100) Transportation Communication 280.3 54.6 ** ** Percent change Public utilities 48.4 ** 2 Year-to­date Trade 915.5 2 Year-to­ average Who,esale trade Retail trade 265.3 650.2 ** 3 2 Novp Oct date average Nov 1971 from 1971 from Building materials, hardware, and farm equipment 34.2 General merchandise 142.2 •• 4 4 ** City Abilene 1971 166.8 1971 153.0 1971 153.0 Oct 1971 9 1970 7 Food stores 105.9 l 3 Amarillo 245.l 225.l 219.6 9 7 Automotive dealers and Austin 470.l 421.4 409.2 12 21 service stations 96.3 ** ** Beaumont 180.6 171.7 179.6 5 l Apparel and accessories Other retail trade 41.0 230.6 3 ** 3 3 Corpus Christi Corsicana 237.9 176.l 195.7 160.2 201.6 175.3 22 10 17 7 Dallas 376.5 362.6 361.6 4 7 Finance, insurance, and real estate Banking 199.5 51.3 ** ** 3 2 El Paso Fort Worth Galveston 168.4 205.0 l 5 l. l 192.4 191.7 130.2 180.5 220.l 142.2 -12 7 16 11 17 5 Services Hotels and lodging places Laundries and cleaners Other services Government Federal 602.l 38.6 31.2 532.3 692.3 158.8 ** -l ** ** ** ** 2 2 5 2 3 l Houston Laredo Lubbock Port Arthur San Angelo San Antonio Texarkana 335.0 294.0 182.4 107.3 213.8 265.4 233.8 318.8 244.l 185.7 116.8 187.0 241.3 213.6 306.2 275.6 189.l 133.3 200.8 l 52.7 223.2 -- 5 20 2 8 14 10 9 10 9 7 12 16 13 4 Tyler 194.2 195.8 186.5 l 4 p Preliminary.** Change is less than one half of l percent. Waco Wichita Falls 238.l 163.3 230.3 157.3 218.6 150.6 3 4 9 13 Source: Texas Employment Commission in cooperation with the Bureau of Labor Statistics, U.S. Department of Labor. p Preliminary. JANUARY 1972 3 1971, but five or six of them suffered reverses in their January-November averages. The most economically vigorous cities among the twenty, as indicated by 1971 year-to-date gains over the January-November 1970 averages, are Austin, Corpus Christi, Fort Worth, San Angelo, San Antonio, Wichita Falls, Port Arthur, El Paso, Houston, Laredo, and Waco, in that order, although all but two (Corpus Christi and Laredo) on the basis of their performance during November 1971 were off their year-to-date averages. The indexes of business activity in November for these cities, even with adjustment for seasonal variation and price changes, gained from 9 percent (Laredo and Waco) to 21 percent (Austin) over their October index levels. If these twenty cities are INDUSTRIAL PRODUCTION, TEXAS* l nder Adjull•d for Seuon•I V•tiation-1951-1959•100 ... ... 300 300 250 ... 200 200 ~~ ... ... 100 100 ...,, .. •• lfS7 1951 1959 1960 1961 1962 1963 196• 196$ 1966 1967 1968 1969 1970 1971 • Manufactluee and mine rah (lncludin11 crude ·oll and natural-ga• production). NOTE: SM.ded ana• lodic;at• pnlod1 ol declln. ol. total buain.u a<:tlvlty In the United State1. SOURCE: F.,daral Re..,rve &nk of Dallat. INDUSTRIAL PRODUCTION DURABLE MANUFACTURES, TEXAS Inda• l951 -1959 • 100 19.57 1951 1959 1960 1961 1962 1963 196' 196S 1966 1967 1961 1969 1970 1971 NOTE: Shaded an a1 indicate period1 of decline of to tal bu1;neu •CHvity in the United Statei. SOURCE: Federal RuerYe B•nk of D• lla1. INDUSTRIAL PRODUCTION NONDURABLE MANUFACTURES, TEXAS /ndeJ: A.dju1ttd fot S•••onal V111i111ion-1951-IU9•100 1957 1951 19.19 1960 1961 1962 1963 1964 19U 1966 1967 1961 1969 1970 1971 NOTE: Shaded area• indicate perlod1 of decline of IOI&\ bu1ineu.activity In the United,Sl•tes. SOURCE; Fed eral Roerve Bank of D11la1. ranked according to their performance since 1957-1959, the base years of the indexes, the first ten array themselves like this: l. Austin 6. Texarkana 2. Dallas 7. Fort Worth 3. Houston 8. Amarillo 4. Laredo 9. Waco 5. San Antonio 10. Corpus Christi All ten of these cities have at least doubled their index figures from the base level. Such an increase in thirteen years (1958-1971) is equivalent to an average annual growth rate of at least 5 .5 percent. Because these indexes. are adjusted for both seasonal and price influences, these are real growth rates. Austin, Dallas, and Houston all have experienced an annual real growth rate, since 1958 averaging more than 10 percent. Laredo and San Antonio have shared an annual average real growth rate of 7-8 percent. Texarkana, Fort Worth, Amarillo, and Waco have grown, on the average, at a real annual rate of 6-7 percent. Corpus Christi has averaged more than 5.5 percent per year. Considering both the change from October to Novembe1 1971 and the change in the eleven-month average through November 1970 and 1971, sixteen cities (among those twenty for which indexes are constructed by the Bureau of Business Research) demonstrated increases in both timr periods. No city gained in November and failed to irnprov its January-November average. El Paso, Lubbock, Pon Arthur, and Tyler failed to gain in November while still advancing their first-eleven-months' average over that for the first eleven months of 1970. Only Abilene, Amarillo, Corsicana, Dallas, Fort Worth, San Antonio, and Wichita Falls experienced increases during six or more of the first eleven months of 1971. Lubbock and Port Arthur declined in November 1971 from October 1971 and also during January-November 1971 from January-November 1970. The business-activity index of each of these cities also fell off during six or more of the first eleven months of 1971. El Paso and Tyler suffered declines in November 197 l. No less than thirteen cities recorded declines in six or more monthly index figures during January-November 197 l. These cities are Austin, Beaumont, Corpus Christi, El Paso, Galveston, Houston, Laredo, Lubbock, Port Arthur, San Angelo, Texarkana, Tyler, and Waco. Unemployment has borne much more heavily on some regions of the state than others. Considering twenty-two Texas labor markets for which unemployment figures are available, one might usefully note the relative positions of these markets according to the ratio of unemployment to total 1970 population. In detail, at least, such figures are misleading on account of the highly variable composition of the population, but unemployment as a percentage of the labor force also is a measure which is subject to some qualification. Among the twenty-two labor markets for which data are available for November 1971 , the hardest hit by unemployment is Webb County, the Laredo Standard Metropolitan Statistical Area, where one in every 20 persons is out of work. At the other extreme is the Abilene SMSA (Jones and Taylor Counties), with only one in 83 TEXAS BUSINESS REVIEW individuals unenrnl0yed.. The absolute numbers in Novem­ber were 3,635 in Laredo and 1,375 in Abilene. Other labor markets which rank near the bottom according to this measure are the Brownsville-Harlingen-San Benito SMSA (32), the McAllen-Pharr-Edinburg SMSA (35), and the Longview-Kilgore-Gladewater area (Gregg County, 38). Ranking just below Abilene at the top are Wichita Falls (80), Austin (78), Dallas (69), and San Angelo (67). A large absolute number of unemployed workers repre­sents a considerable social problem and expense, wherever it occurs and whatever its relative significance. In Houston, where only one in 64 individuals was unemployed last "lovember, or 3.4 percent of the civilian labor force, the . .memployed numbered 31,200. This is a considerable population, perhaps representing, with families, a total population of 75,000 or more, larger than most Texas cities. The unemployed last November represented 22,600 in Dallas, 16,700 in Fort Worth, and 15,050 in San Antonio. Only in Fort Worth, among those three cities, do the unemployed amount to more than 5 percent of the ·ivilian work force, but the human problem, the sheer numbers affected, are more significant than the relative measures. Quite appropriately, the year 1971 will be regarded as one in which momentous change swept both the domestic "nd the international economies. One might fairly argue, "iwever, that most of these convulsions, however sudden or violent, reflected forces a long time building. That so many of these forces irrupted during 1971 was at least partly coincidental. The larger elements of the domestic and international economy from the United States point of view (inflation, unemployment, the balance of payments, the shift to a less military economic basis, the changes in institutions such as the stock market) cannot be classified as either wholly domestic or wholly international. Probably in the long run the domestic economy will be most affected by institu­tional changes such as those which threaten to overtake the stock exchange. The worldwide capital crunch alone ought to insure the overhaul of most traditional methods of investment. Although political developments, deliberate and accidental, both at home and abroad, will affect economic circumstances to some extent, these are fre­quently no more than reactions, or-as in the case of the devaluation of the dollar-overdue recognition of consider­ably altered circumstances. The most volatile and significant influence on the economy will continue to be the attitude of those with the money to spend. It is of no consequence that most corporate and individual spending decisions alike are made, not on the basis of what someone thinks, but rather of what someone else imagines another to think. The economic well-being of several cities in Texas is bound up with certain identifiable problems. The dis­proportionate unemployment in the aircraft industry and in South Texas, the shifting patterns of the supply and demand of petroleum fluids, the investment of outside capital, and the mobility of the labor force-these and similar influences will govern the economic health of the state during the coming year. TEXAS CONSTRUCTION CONTINUING HOMEBUILDING GROWTH N . Carroll Mohn November proved to be another good month for construction in Texas. Seasonally adjusted, it was the second-highest month for the year to date. This surge in state building provides the assurance that 1971 is going to be the best construction year on record. Data collected by the Bureau of Business Research show that $237.5 million of construction was authorized by building permits in Texas urban areas during November, up 36 percent from October figures. Significant monthly gains were achieved by both nonresidential (51 percent) and residential (24 percent) activity. However, a comparison of values from January through November of this year with the like period for 1970, all adjusted for seasonal variation, reveals a less dramatic increase of 26 percent for total ESTIMATED VALUES OF BUILDING AUTHORIZED IN TEXAS* Percent change Jan-Nov 1971 Nov Jan-Nov Nov1971 from 1971 1971 from Jan-Nov Classification (thousands of dollars) Oct 1971 1970 A LL PERMITS 237,470 2,7 38,618 18 27 New construction 210,157 2,441 ,355 18 27 Residential (housekeeping) 118,54 5 1,381,425 6 4 3 One-family dwellings 74,343 842,549 22 62 Multiple-family dwellings 44,202 538,87 6 -13 22 Nonresidential buildings 91,6 12 1,059,930 37 10 Hotels, motels, and tourist courts 1,5 50 31,379 -3 2 Amusement buildings 6,55 1 30,315 799 -4 5 Churches 3,484 29,620 67 -12 Industrial buildings 8,617 89,72 5 13 -11 Garages (commercial and private) 726 34,114 -33 110 Se.rvice stations 963 14,031 22 -6 Hospitals and institutions 8,658 62,817 61 -34 Office-bank buildings 16,610 294,600 4 21 Works and utilities 238 60,947 -94 63 Educational buildings 17,981 191,469 64 45 Stores and mercantile buildings 20,997 17 8,552 52 4 Other buildings and structures 5,237 42,361 84 47 Additions, alterations, and repairs 27,313 297,263 22 26 SMSA vs. NON-SMSA Total SMSAt 212,132 2,459,820 21 28 Central Cities 141 ,191 1,703,408 8 2 5 Outside central cities 70,941 7 56,412 58 3 5 Total non-SMSA 25,338 278,797 ** 19 10,000 to 50,000 population 16,050 144,354 27 11 Less than 10,000 population 9,288 134,443 -27 30 * Only building for which permits were issued within the incorporated area of a city is included. Federal contracts and public housing are not included. * * Change is less than one half of 1 percent. t As defined in 1960 Census and revised in 1968. Source: Bureau of Business Research in cooperation with the Bureau of the Census, U.S. Department of Commerce. construction, with 10 percent for nonresidential, but a whopping 42 percent for residential. With no significant proportional change in the total value of construction in metropolitan versus nonmetropoli­tan areas evident for November, nearly 90 percent of all activity continues to be centered in the twenty-five standard metropolitan statistical areas (SMSA's). Within the SMSA's, however, a marked trend toward building outside the central cities is evidenced by a 19-percent decline since 1958 in the fraction of total construction value attributed to the central cities. Significantly, Austin, Dallas, Fort Worth, Houston, and San Antonio SMSA's sparked November contracting by accounting for over 57 percent of all reported activity. Of these big five, Dallas and Houston continue to provide the bulk with their combined 38 percent. For purposes of further comparison of state construc­tion attributed to the various metropolitan areas, November and year-to-date fractional performances are assembled in a table accompanying this report. Percentage drops are evident through November for Sherman-Denison, Waco, Tyler, Laredo, Bryan-College Station and Amarillo SMSA's. Nonresidential building authorized in the state climbed an unadjusted 37 percent over October's level as gains in office-bank, educational, stores, and mercantile building offset sluggish commercial garages, works and utilities, hotels, motels, and tourist-court markets. Urban permits for starts on all types of housing units in Texas have risen for 1971 . The high level of housing starts this year is unquestionably due in large measure to the reduction in the cost of money and to increases in its BUILDING AUTHORIZED IN TEXAS STANDARD METROPOLITAN STATISTICAL AREAS* SMSA TOTAL AS PERCENT OF ALL SMSA CONSTRUCTION Total construction Nonresidential conslruction Residential construction SMSA Nov 1971 Percent changet Jan­197 1 Nov from 197 1 1970 Nov 197 1 Jan-Nov 197 1 Percent changet 197 1 from 1970 Nov 197 1 Jan-Nov 1971 Percent changet 197 1 from 1970 Abil en~ 43 -IS 694 Amarillo I -36 I 16 5 Austin 54 S I 4 54 Beaumont-Port Arthur-Orange 27 -20 104 Bryan-College Station -17 -73 59 Brownsville-Harlin- gen-San Benito I 34 I 27 46 Corpus Christi 3 3 1 19 2 2 161 I I 184 Dallas 20 22 s 18 22 -13 12 13 21 El Paso 4 4 23 I 3 -13 3 3 74 Fort Worth s 9 36 6 II 34 3 5 46 Galveston-Texas City I I 11 1 I 129 I 131 Houston 19 25 34 17 28 20 10 12 50 Ki lleen-Temple 12 2 I -28 1 I 24 Laredo - 2 -16 10 Lubbock 49 113 98 McAllen-Pharr- Edinburg Midland I I.. .. 68 211 I.. 41 571 I.. 123 I 56 Odessa San Angelo 2.. SJ 21 s I.. .. 147 - 2 39 Sa n Antonio Sherman-Denison s 5.. .. 27 -51 8 4.. .. -II -68 2 2.. .. 46 -35 Texarkana Tyler 2.. 77 3 I.. -36 -53 I.. 482 41 Waco -25 -38 -20 Wichita Falls 87 63 81 • All figures are rounded to the nearest whole percentage point. •• Less than one half of one percent. t Year to date, Jan-Nov. availability. In November single-family units accounted for 63 percent of dollars spent on residential construction, while the remaining 37 percent is attributed to multiple­family dwellings, which consist basically of apartment complexes (35 percent). Dallas led all Texas regions in the number of one-family dwelling units constructed (35 percent), Austin built the greatest number of duplexes (17 percent), and Houston reported the most apartments for the month ( 46 percent). The record growth in residential building, which pro­vides a major source of strength for the Texas economy, shows no signs of downturn. Although such gains may grow larger next year, increases in 1972 are not expected to be nearly as large as those in 1971. In an optimistic estimate, residential construction will rise 10 to 15 percent next year, compared with about 40 percent this year. Housing starts for 1971 are estimated to total slightly fewer than 120,000, excluding mobile-home sales. For 1972 the predicted total will climb up to 130,000 units or thereabouts. Hence, no sharp downturn is anticipated in the near future. A number of reasons explain why residential construc­tion in the state will continue at a high level: 1. Rates of interest are predicted to stay constant or decline slightly. Presently they are down significantly from the 9-percent levels of last year. 2. Controls under Phase II are expected to slow rises in labor and material costs. The stability in costs and rates of interest will encourage both buyers and builders. 3. Financing for housing is abundantly available and is calculated to continue in good supply through next year. The big push in 1971 came almost exclusively from the enormous buildup of savings in the thrift institutions as consumers held on to an abnormally high proportion (over TEXAS RESIDENTIAL CONSTRUCTION, 1958-1971 SINGLE-FAMILY AND MULTIPLE-FAMILY UNITS BY PERCENT OF TOTAL VALUE• Millions Mi ll ions ot o1 doUSI dol'-' .600 1,400 ,400 1,200 1,200 .000000 900t----+---l-+--+- 800 600 800 YEAR • S.nonally unadjusted; no MljltStmenl tor intl.tion. •• Annual rite est irmtn tMted on Janu• v·Nowmber 1971 data. TEXAS BUSINESS REVIEW 8 percent) of their incomes during the recession and recovery period. TOTAL BUILDING AUTHORIZED, TEXAS • 4. Marriages in Texas are on the upswing, and family ,.. JSO starts are expected to set new records as more young JOO couples establish households. JOO J SO S. With 1972 an election year, fiscal policy through ... several government subsidy programs is expected to stimu­200 200 late more homebuilding by making it easier for low-and ISO middle-income families to purchase housing. 15.0 100 The trend among Texas residents, who have been 100 increasingly priced out of home buying, is to move into so SD multiple-family dwelling units. The multiple-family share of 19'7 19SI 1959 1960 1961 1962 1963 196A 196S 1966 1967 1961 1969 1970 1971 housing starts has grown each year until 40 to 45 percent of • lnclude1 addition•, alteration1, and repair•. NOTE: ~ded araa1 indicate pu iod1 of decline or total bu1lneu activity in the Unitod Statu . all new housing in Texas consists of multiple-family dwellings. Seemingly the share of single-family home starts NONRESIDENTIAL BUILDING AUTHORIZED, TEXAS• will continue to decline, but at a slower rate than in the past. /ndu Adj u1ttttl for Season•J V11riation-1'S1· 19.5' • 100 00 On the whole, all types of residential construction will be in demand, and the pressure is now on builders to ... provide lower-cost housing. It is clear that the trade-off for ,.. prices will continue between room sizes and extra amenities. A part of the answer to satisfying housing needs ·of low­J OO JSO and middle-income Texans will be offered by the newly developing modular-home industry. A module is an assem­... bly-line-produced transportable unit designed to meet ISO standard house specifications and capable of standing alone or being joined to other modules on a permanent foundatiOn. 100 While the prices of conventional houses and modular SD houses are currently about on a par, a greater future role for modular housing in Texas is forecast as cost problems become resolved. Some savings in modular construction should result from automation, economies of scale, year­round operations, and better inventory control. Further­more, financing costs are lower because of quicker turn­over. The principal advantage, however, is in improving MOBILE VS. MODULAR HOUSING Monthly Financing Costs Mobile Modular (1) Modular (2) Purchase price $7,500 $ 9,700 $ 9,700 Land 3,000 3,000 Down payment 1,000 2,540 380 Closing costs and extras 1,000 600 600 Points 160 Total cash outlay 2 ,000 3,140 1,140 Loan 6,500 10,000 12,320 Monthly payments On loan 115.00 83.70 97.00 Rent on pad 60.00 Real-estate tax­ es (3) 25.00 25.00 Total cash/ month 175.00 108.70 122.00 Depreciation ex­ pense (4) 62.50 Total monthly cost $237.50 $108.70 $122.00 (!) Conventional 20-year, $10,000 mortgage at 8 percent. (2) FHA, 20-year $12,320 mortgage at 7 percent. (3) Deductible on federal income-tax return. (4) Assumes SO-percent depreciation on mobile home amortized over 60 months. Also that appreciation on land equals depreciation on modular. Source: House and Home, April 1971. 1957 19$1 1959 1960 1961 1962 1963 1964 " " 1964 1967 1961 1969 1970 1911 • Eltcl1>de• addition•, altu·ation1, and repaiu . NOTE: Sh&d.ci areaa Indicate period• of decline of to1al bu1inu1 activity In 1he United St.tu . labor productivity. In the factory high-salaried skilled workers can supervise and certify tasks performed by unskilled labor. At separate homesites these tasks would otherwise have to be executed by skilled workers. Separate Texas data on modular construction are not currently compiled; at a national level, however, the industry represents 2 percent of total new residential units built in 1971. Though this percentage may seem small, it is growing rapidly, having doubled in each of the past three years. Nation-wide sales of modulars for 1972 are estimated at l 00,000 units, up 100 percent from 1971 's level, but still comprising only 4 percent of total residential units. As residential starts are expected to expand, modular construction in Texas is foreseen to compete more aggres­sively with the mobile-home industry for the low-priced single-family dwelling unit. To increase their share of the low-cost housing market, modular producers will have to disprove the premise that mobile homes are the least expensive of low-cost shelters. In the April 197 l issue of House and Home the premise that mobile homes are low-cost vis-a-vis modular housing is challenged. An ac­companying table gives figures on the relative financing costs in the purchase of mobile and modular housing. The data illustrate that when depreciation expense is added to monthly expenses, the cost of owning a mobile home can be almost twice that of owning a modular house. It is obvious that getting this concept across to the homebuyers will require substantial educational effort. A LOOK AT THE TEXAS FILM INDUSTRY James R. Buchanan * Film making is not new. Neither is the idea of bringing the motion-picture industry to Texas. Several attempts have been made in the past to establish permanent film studios by Texans in the Lone Star State. Until recently the attempts of Texas and Texans to do just that have been amateurish and fitful, but they go back a long way. So who knows? Winds of change are blowing, and the realization of how powerful a social force the motion picture is, for good or ill, is growing in Texas-as elsewhere. Historical Perspective on the Texas Film Industry One of the first expressions of Texan interest in moviemaking was made in 1913, when four men from North Texa·s traveled to San Antonio with serious plans to form a corporation for production of a series of silent films based on the siege and fall of the Alamo. A charter was granted and stock was sold at one hundred dollars a share. Many prominent Texans bought shares; but the project flopped, and three years later the charter was forfeited because of failure to pay franchise taxes on $50,000 in capital stock. During the same year, in 1913, Austin was the scene of a more successful attempt to establish a permanent film studio for Texas. A film company with $25,000 in assets was organized under the name of The Satex Company. An old building at Thirteenth and Lavaca Streets was used for a studio. A stage was built and the building was remodeled in the most modern manner for the successful reproduction of scenes and plays. The company's first picture, and the only one on record, was a three-reeler called Their Lives by a Slender Thread, in which local actors were used. The film was released by the Warner Company. Twenty prints of the film were made and exhibited in many Northern and Eastern cities. The Satex Company at that time was the only company producing silent films south of St. Louis. Another attempt to establish a movie studio in Texas was made in San Antonio in 1923 by the well-known character actor Maclyn Arbuckle (no relation to "Fatty"). He chose San Antonio because the sun shines almost the year around there and the area offers a diversity of backgrounds. The studio was nothing more than a barnlike structure in south San Antonfo; most of the films shot there weren't particularly distinguished-even by silent-film standards. But the studio did provide a home base for some talented directors and cameramen, and it served as a *James Buchanan is historian for the Texas Film Commission. He is the author of articles pertaining to the film industry in Texas and its history, from which portions of this article have been taken : "Location: San Antonio," Texas Parade, 31 (April 1971), pp. 24-27; "Movie-Making in Texas," Films in Review, 22 (June-July 1971), pp. 343-347. proving ground for young actors. The studio was financed by Will Hogg, son of Governor James S. Hogg. Hollywood made its first official, and a spectacular, entrance to Texas in 1923. The Fox Film Co., learning of San Antonio's climate, varied surrounding terrain, and available talent, decided to shoot the exterior scenes for The Warrens of Virginia in and around the Alamo City. These exteriors were filmed in lush Brackenridge Park and at the old Argyle Hotel in suburban Alamo Heights. Starring in the seven-reeler were Wilfred Lytell and Martha Mansfield. In one of her scenes toward the end of location work Miss Mansfield's costume of light and billowing material was ignited by a carelessly thrown match. She died the next day in a San Antonio hospital. The film was completed, and later premiered in San Antonio. By this time other areas of Texas were being sought by movie companies for location filming. In 1924 Paramount filmed near Houston North of the 36th, starring Jack Holt and Lois Wilson. It was directed by Irvin Willat, who was married to Billie Dove, the silent screen star. In 1925 Hollywood began making a rash of war movies, and San Antonio, with its various army posts and air bases, was a natural for location. First came King Vidor's screen classic, The Big Parade, starring John Gilbert and Renee Adoree. Battle scenes for the film were shot at Fort Sam Houston and other posts of the Eighth Corps. Two years later Paramount sent two units to film Wings and The Rough Riders. Wings, an extraordinary film-making feat for its time, utilized the facilities of Camp Stanley and Kelly Air Force Base. The cast included Buddy Rogers, Richard Arlen, and Clara Bow. The Rough Riders dealt with Theodore Roosevelt drilling his famous soldiers on the very site where Paramount's picture was filmed. In 1934 MGM moved a large production unit to the newly completed Randolph Air Force Base, northeast of San Antonio, for the filming of West Point of the Air. The spacious lawns, palms, oak trees, and Spanish-type buildings of Randolph were used as backgrounds for the actors. The cast included Robert Young, Rosalind Russell, Wallace Beery, Maureen O'Sullivan, and newcomer Robert Taylor. Until the late forties few motion pictures were shot in Texas for theatrical release. The ones that were made included Vitaphone's The Fall of the Alamo; The Big Show, starring Gene Autry and Roy Rogers ( 1936), which was filmed in the Fort Worth-Dallas ambience; a Jane Withers vehicle, High School (1936), filmed in San Antonio's Jefferson High School; and I Wanted Wings (l940), which was filmed at Randolph and had in its cast Ray Milland, William Holden, Veronica Lake, Wayne Morris, and Dallas socialite Constance Moore. This was the last film to be made at Randolph until 1951, when Universal made Air Cadet, with Stephen McNally, Gail Russell, Alex Nicol, and young Rock Hudson. The one area in the state that has a permanent movie set for year-round filming is near the South Texas town of Brackettville. Brackettville, 120 miles west of San Antonio, in 1950 was hit first by drought and then by the closing of Fort Clark. Since discontinuance of the Fort meant that Brackettville would lose about 40 percent of its population, rancher James T. "Happy" Shahan, who was mayor, decided something had to be done. Having heard of Old Tucson, the movie "village" that had been built near Tucson, Arizona, for the film Arizona and that afterward became a permanent tourist attraction, as well as the scene for subsequent movies, "Happy" began informing the Hollywood studios of Brackettville's virtues. In 1952 Paramount filmed Arrowhead, with Charlton Heston, Jack Palance, and Brian Keith, in the Brackettville area, and in 1955 Republic filmed near "Happy's" ranch The Last Command, which dealt with the battle for the Alamo and its fall. This made "Happy" think a more authentic film version of the Alamo event should be made. He journeyed to Hollywood and talked to John Wayne about the possibilities. "Happy" said the evacuated Fort Clark would make an excellent production center, and he offered to pay for a recreation of old San Antonio and the Alamo that would be a "permanent" set. In September of 1959 Wayne's Batjac company moved its large film organization into Brackettville and onto the Shahan ranch. Thousands of extras were hired to make up the army of Santa Anna and the defenders of the Alamo. Movie stars-Wayne, Richard Widmark, Laurence Harvey, Richard Boone, Linda Cristal-began arriving. The Alamo, appropriately enough, is the most expensive, and the most important, Texas-made movie to date. The main set for The Alamo has since been used by Columbia for Two Rode Together, starring James Stewart, Richard Widmark, and Shirley Jones; for Roy Rogers' Chevy Show; for Bandolero, with Dean Martin, James Stewart, and Raquel Welch; and for segments of teleseries and TV commercials. In addition it has become, as "Happy" Shahan hoped, a tourist attraction. In 1950 a rugged area of the Davis Mountains served as the setting for the Eagle Lion film The Sundowners, that starred Robert Preston, Robert Sterling, and John Barry­more, Jr., making his screen debut. Viva Zapata was filmed near Rio Grande City in 1952, with Marlon Brando and Jean Peters. George Stevens directed Giant (1956) in and near Marfa, the so-called "gateway to the Big Bend" ; the stars were Elizabeth Taylor, Rock Hudson, and James Dean. Home from the Hill, starring George Peppard and . George Hamilton, was filmed in Paris, Texas, in 1960. The The old Exposition Building set under construction for The Rough Riders. After news of the death of Rudolph Mary Astor, arriving in San A ntonio, August 19, 1926, Valentino the cast held memorial services here. Photo by to film The Rough Riders. She was met by Mayor Tobin of San Antonio Light. San Antonio (at right). Photo by San Antonio Light. Dallas area was used in filming State Fair in 1962; the cast included Pat Boone, Ann Margaret, and Alice Faye. Hud ( 1962) was made in the Panhandle town of Claude, with Paul Newman and Patricia Neal. The Columbia non-Western titled Baby, the Rain Must Fall was made in Wharton, with a cast which boasted Steve McQueen and Lee Remick. Viva Max, starring Peter Ustinov, was filmed in San Antonio (1968), and the John Wayne vehicle Hellfighters was shot in Houston by Universal in 1969. The Denton-Dallas area provided the exteriors for Bonnie and Clyde in 1967, and Houston's Astrodome was the setting for Brewster McCloud in 1970. In 1970 also the exteriors for The Andromeda Strain were shot in and around the semiabandoned mining town of Shafter, and the same year Red, White and Black was filmed in Old Fort Davis, with Cesar Romero, Barbara Hale, and Rayford Johnson. The Dallas-based Presidio Productions, Inc., made and released a "horror" film titled The Mark of the Witch (1971), which the Interstate Theater chain considered "above average." More recently the POP Film Company of Houston filmed The Windsplitter ( 1971) in and around Columbus. Houston film maker David Ford is president of the newly formed company. In Archer City, a small town south of Wichita Falls, The Last Picture Show was made ( 1971 ), to the discomfort of some of the inhabitants of Archer City, who feared that a film about a teen-age boy growing up in a town like Archer City would suggest that the people of the town were prototypes for the characters in the film. The author of the novel on which the picture was based, Larry McMurtry, was born in Archer City. This member of the Rice University faculty wrote also Horseman Pass By, the adaptation of which was the basis for the screenplay of Hud. The Last Picture Show, being recommended for the Academy Award, was directed by Peter Bogdanovich, a thirty-one­year-old critic turned film maker. The cast includes Timothy Bottoms, Ben Johnson, Jeff Bridges, Cybill Shepherd, Cloris Leachman, and Ellen Burstyn. Texas has nearly always been movie-minded. Numerous colleges and universities in the state have radio, television, and film departments, where students have been trained for years in radio and more recently in television and in films. Some of the universities offering studies in the film media are Baylor University, in Waco, Rice University, in Hous­ ton, Southern Methodist University, in Dallas, and Trinity University, in San Antonio. In Austin The University of Texas' multibuilding communication center is now under construction. These buildings will house the Radio, Tele­vision, ·and Film Departments. Within these departments a substantial amount of space will include not only studios for radio broadcasting and television production, but sound stages that will contain specialized and expensive movie equipment. These stages will be used in the production of feature films that can be shown in movie theaters and on television. Of all the attempts to secure a permanent motion­picture company in Texas the most successful has been that of the Jamieson Film Company of Dallas-the first major permanent film-production company in the Southwest. The company was founded in 1916 by Hugh Jamieson, Sr., a pioneer and well-known innovator in the film industry. Though primarily not producers of theatrical-type movies, Jamieson has long been a leader. in the production of business, industrial, and educational films and television commercials. Jamieson Film Company is known in the film industry as a forerunner in technological advances and has many patents to its credit for important developments in equipment and processing techniques. Many of these innovations are being used today by major national and international television networks and production compa­nies. Both Bruce Jamieson, president of the company, and Hugh Jamieson, Jr., executive vice president, have been active in the company since joining their father in its operation after World War II. Today the Jamieson Film Company employs sixty-five people in its Dallas facility, built in 1948. In the fall of 1972 the company will take two steps toward giving Texas a significant movie industry: a scheduled move from its present location into its new multibuilding movie studio that is to be built in North Dallas, and the formation of a new motion-picture produc­tion company to be called the Masters Film Company. Named as president of Masters Film Company will be Martin Jurow, producer of such award-winning movies as . Director Peter Bogdanovich (center) discussing the fight Famous Director William A. Wellman {behind camera in scene with 'Jimothy Bottoms in the Columbia Pictures white hat) directing a scene of Wings at Kelly Air Force presentation The Last Picture Show, a BBS production. Base, San Antonio, in 1927. Photo by San Antonio Light. Photo courtesy Columbia Pictures. Inc. TEXAS BUSINESS REVIEW The Hanging Tree, Breakfast at Tiffany '.r, The Great Race, The Pink Panther. Jurow will divide his time between Dallas and Hollywood. Other officers and directors of the newly formed company are Secretary-Treasurer Bruce Jamieson, Vice President Hugh Jamieson, Jr., and Director George E. Ray, attorney and senior partner in the Dallas legal firm of McCulloch, Ray, Trotti, and Hemphill. The new studios, to be built on 5.5 acres in North Dallas, will include two sound stages, recording studios, and editorial and animation facilities. Color-processing laboratories will. be included in the studio complex. The 10,000-square-foot sound stage will be the largest in the Southwest. The studio will employ up to 75 employees with a payroll of $750,000. William Benson is the architect for the $1.5-million structures. Film projects being developed for production include Sunday Morning, a full-length motion picture starring Karl Malden and directed by Daniel Petrie. A second feature will be The New Legend of Sleepy Hollow, written by Professor G. Wm. Jones of Southern Methodist University. Rene Ouberjonois has been cast as Ichabod. A television series entitled Ichabod's Classroom is now in the working stage. Another film, now being budgeted, is The Iron Swan, to be made on location on the Rio Grande. Other scripts being prepared for future filming include The Youngers, based on exploits of the outlaws who rode with Jesse James; and a movie for television, as well as a series, entitled Houston's West, based on the life of Sam Houston during his presidency of the Texas Republic. Production costs for films produced by Masters Film Company are expected to range from a low of $400,000 to a high of $.5 million. "We are not planning to limit our production to any one kind of film. It is our intention to produce major films economically, including big productions with established film names and personalities. Masters Film Company will cover the full spectrum of motion-picture production, in terms of budget, talent, and technological skill," said Jurow, adding, "Incidentally, all of our present productions are scheduled for filming on location in various parts of Texas."l Without do~bt Dallas is emerging as one of the nation's motion-picture production centers. Houston's movie­making abilities and facilities, however, are beginning to rival those of Hollywood or of its main competition, Dallas. A glance through the yellow pages under "motion pictures" reveals the many film companies active in Houston. Not listed are the numerous private film makers who work for movie companies yet produce their own motion pictures. According to educated guesses made by some of the film makers and to information supplied by advertising agencies, the industry in Houston generates money in the tens of millions of dollars yearly. Film-production facilities in Houston range from elaborate fully equipped sound stages to small apartments that house expensive camera equip­ment. Business in Houston is good for film makers, generally. Commercials for airlines, banks, car dealers, utility companies, beer companies, stores of all kinds-these 1Public Relations Division, Walter Clark Advertising, Inc., Dallas, Texas. For Jamieson Film Company, Dallas, Texas, September 1971. are just a sample of the variety of TV commercial work filmed in Houston. One of the outstanding motion-picture companies in Houston is MFC Film Production, Inc. Both Michael F. Cusak, president of the firm, founded in 1967, and Frank Q. Dobbs, vice president, are former members of the television news media. Both are native Texans, and both have received numerous film awards for their documenta­ries made as cameramen-reporters for Houston stations. Unlike most film companies in Houston, who have had to work themselves up from commercial work or promotional films, MFC Productions headed straight into feature films starring well-known actors. Cusak and Dobbs joined forces in 1970, filming a number of documentaries on various locations in Texas and in South America. They also filmed the behind-the-scenes documentary for Metro-Goldwyn­Mayer's Brewster McCloud, that was shot in Houston's Astrodome. On their new 50-foot-square sound stage MFC Productions filmed a cassette-type film of Anton Chekhov's play The Swan Song, using their new movie equipment. The Swan Song ·was produced by Cinerep Productions, Inc., of Houston-an educational film production company that is involved with films for cassettes, and of which Houstonian Barbara Singer is president. Starring in the film were Richard Kiley and Michael Dunn. Kiley has appeared in numerous television plays but is best known for his role as Don Quixote in Broadway's Man of La Mancha. Dunn, too, is known for television performances as well as for his portrayal of the dwarf-chorus figure in the movie Ship of Fools . In June of 1971 the Atlanta Film Festival selected The Swan Song as the best theatrical short subject of the year. It was selected from 106 competing entries and earned the prestigious Gold Medal Award. For the production of The Swan Song MFC Film Productions bid on the film, and used their people, equipment, and carpenters in building the set. Kiley and Dunn came to Houston, and rehearsed for a week before the actual filming began. Frank Dobbs was the director of the film and Michael Cusak did the photography. Cusak, not surprised at winning the award, commented, "Our concern was to get them the best product we could give. We were quite pleased. It was a feather in our cap, and I'm sure it was a feather in Cinerep's cap as well," he added. "But it goes to show you there are qualified film people in Houston-at least we're qualified."2 While Dallas and Houston are the movie-making leaders in the state, other cities have film companies: Abilene, Amarillo, Austin, Beaumont, Tyler, San Antonio, and others. Texas is not the only state trying to lure the film industry into its environs. Many states with Western-type scenery, such as Colorado, New Mexico, Utah, and South Dakota, are bidding for a share of the motion-picture business. To date New Mexico has been the most successful. In 1970 nineteen feature films were produced there with budgets totaling $15 million. Of this sum $ 7 million 2 F. Jay Schempf, "Houston's Movie Industry? 'It's Better Than Ever'," Houston Business Journal, 1 (September 13, 1971), pp. 1, 12, 13. "filtered down" to businessmen in the state. It is no surprise that everyone is trying to get into the picture. Not only do the film companies advertise in the state where the film is being made, while spending a great deal of money there, they bring no industrial pollution. The Texas Film Commission Texas' Governor Preston Smith, a former theater owner himself, thinks the Lone Star State should develop a film industry of its own, "second to none," and said the industry would bring "a new style and ad·ded energy to our financial, educational, and cultural environment." On May 24, 1971, during the session of the Sixty­Second Legislature, the Texas Film Commission was created by executive order of Governor Smith. The position of executive director of the Commission is occupied by Warren Skaaren, a native of Rochester, Minnesota, who was student-body president of Rice Univer­sity and a former member of the Governor's Office staff. Skaaren has worked closely with representatives of the film industry and has been instrumental in bringing film people into the state for possible film production. "The goal of the Commission," says Skaaren, "is to develop a film industry in Texas-encouraging and support­ ing the already strong film industry of our state as well as welcoming and giving full assistance to producers from outside Texas. We seek to develop a film-consciousness in Texas' cities and among its people through which to draw upon the people's most important resource-their heritage. Texas possesses almost every type of location. It has mountains, great deserts, beautiful seashores, bustling cities, rivers, forests, quaint old towns, jungles, swamps, and beautiful people of every race, creed, and color." The Commission consists of a 41-member Advisory Board, including Academy Award-winning actress Dorothy Malone of Dallas, Paul Baker, director of the Dallas Theater Center, plus bankers, legislators, and film makers. The following work program of the Texas Film Commis­ sion for 1971-197 2 has been outlined in more detail by the Commission's executive director, Warren Skaaren, but is condensed in part here. Programs for the Attraction of Film Production to Texas These programs are centered around an advertising program directed toward the national and international motion-picture production community. An information program utilizing the Texas Highway Department's Texas ­Land of Contrasts, together with a catalog and location scouting service, will be developed by the Texas Film Commission. The Commission intends to provide a single center for all film-making information related to Texas. Advertising in Trade Journals The Texas Film Commission's advertising program will be modest, relying heavily upon the experience of the Texas Industrial Commission. The program will concentrate on three well-known national and international trade magazines, The Hollywood Reporter, Variety, and The American Cinematographer. One or two specialized ads will be placed in the Directors Guild magazine. The advertising presentations will be of two types, high-density informa­tion, including statistics, and startling photography de­signed to break in the minds of directors and producers the stereotypes of Texas terrain. Emphasis will be placed also upon "joining" the Texas industry. Conferences The international motion-picture industry can be com­pared in many ways to a "small family"-word travels more rapidly in the film industry than in any other. Despite Texas' lack of advertising, to date, the Texas Film Commission office receives from film-production compa­nies outside Texas approximately five requests a week for assistance. This interest and confidence in the Texas program are attributable primarily to several tightly scheduled visits by the Commission's executive director in Los Angeles for meetings with studio heads and production personnel. Several visits to the East and the West Coast production centers have been planned, for it is of the utmost importance in wooing film companies to Texas that they have both confidence in the Commission staff and some personal contact with its members. Movie making is in many ways a very personal industry-the director and producer must trust and carefully select their cast and crew. Catalog ofFilm-Related Services The On-Location Services Committee of the Texas Film Commission strongly recommended the development of a catalog listing the availability and location of Texas film-production-related services and facilities. This catalog will contain the names, addresses, and telephone numbers of such widely varied service firms as livestock-rental companies, helicopter services, costume companies, pro­ducers of sound stages, and possessors of old automobiles. All related government services in the state will be presented. This catalog will be the comprehensive film maker's guide to Texas. Mailings The Texas Film Commission staff has prepared a partial listing of key production decision makers, to whom an information packet will be mailed. The packet will contain a copy of Texas-Land of Contrasts, the catalog of film-related services in Texas, and a letter advising them of the services and goals of the Texas Film Commission. A selected subgroup will receive the monthly newsletter. Development of Location Scouting Service The location scouting service begins with the Texas Film Commission staff production of a location profile from the TEXAS BUSINESS REVIEW screen play under consideration. The Commission's staff then meets with the architects of the Texas Historical Survey Committee for their architectural and location recommendations. The Texas Film Commission staff util­izes its files and quickly growing informal network of "location scouts" throughout Texas. Often the "scouts" are public employees who travel or "old-timers" and historical buffs who know their area of Texas. Video-Tape Location Library The video-tape library was a strong suggestion from several members of the Texas Film Commission. A small portable video-tape unit and camera can tape, in color, a motion-picture record of small towns, unusual architecture, beaches, and other physical elements. The quality of this unit is high and the tape is relatively inexpensive. The unit comes with a play-back device that can be used through a standard television set. Should a producer be interested in a specific type of location, he can review his alternatives in his hotel room and save many hours of driving time. Furthermore, fhe tape itself is inexpensive enough to enable many cities and counties to buy the tape and participate themselves in the program at a minimum of state expense. Computerized Community Profile When a producer has decided on a location, he normally sends his production manager to learn all he can about the area. Preproduction investigation and planning is more important in today's lower-budget film making than ever before. Through the use of the Texas Industrial Commission computerized community profile, used originally for plant location, the Texas Film Commission staff, in minutes, can place in the hands of a producer thousands of pieces of valuable information which it would take his production manager weeks to discover. This single service places Texas far ahead of the other states' location services. Climatological and Weather-Information Service Perhaps no other element can affect a production more adversely than the weather. This element, which originally attracted the industry to California, will play an important role in the attraction of the industry to Texas. The Texas Film Commission provides climatological profiles for each Texas city, with means and averages for all months and years for the last five-year period. This service is invaluable to producers who are shooting outdoor-action pictures. Community Cooperation Function The Texas Film Commission staff describes the state government's broad interest in the growth of the Texas film industry to officials in cities that are under consideration as motion-picture locations. The TFC urges cooperation from the city and county officials during the production of motion pictures. On large productions the staff often asks the mayor or county commissioners court to assign a representative to the production staff as a liaison man for the duration of the shooting schedule. Development and Advertisement of Texas Script and Story Library The backbone of any film is the screen play or story. Texas stories are best when they are shot in Texas. The Texas Script Library, a nonprofit repository of scripts and stories with Texas themes or scenarios which can be readily shot in Texas, will be made available, therefore, to producers, who are always looking for good stories. 'The only prerequisite for the acceptance of a script is registra­tion with the Screenwriters Guild of America or copyright of the story or script. Programs for the Development of Texas' Indigenous Film-Production Industry Early in the research leading to the establishment of the Texas Film Commission it became clear that the real potential for the growth of the industry in Texas lay not simply in her locations, but in the development of the already substantial Texas-based film industry. It was de­cided, therefore, that over half of the efforts of the TFC should be directed toward the encouragement and support of the Texas-based industry. Texas, with Dallas producing the fourth-largest amount of film footage in the United States, has a wide range of talented film makers. They are backed by good facilities and modern equipment. They are plagued, however, by a lack of visibility, intrastate and nationally, and almost no means of communication among themselves. By providing a thorough public-information program the TFC staff hopes to strengthen one of Texas' most impor­tant resources, Texans in the film industry. Newsletter A communication device to promote cohesion within the industry is badly needed. The TFC newsletter will be available to all interested parties in Texas but will go primarily to Texas film makers. The newsletter will contain a wide range of information about the growth of the industry in Texas. It will include up-to-the-minute reports on the new technology, which is changing the industry daily, stories about current produc­tion in Texas, and notes from distributors regarding their needs for film product. The newsletter will be sent on request to interested film makers throughout the United States and Canada. Clearinghouse for Government Film Needs Some of the most frequent users of film in the country are governmental units. Nevertheless, information about the film-making needs of state, local, and federal governments is very scarce. It is the goal of this service to compile a list of the frequent governmental users of film and their needs. Furthermore, a list of the appropriate bid procedures will be available to interested film makers. Program to Increase Visibility of Texas Commercial and Industrial Film-Making Industry The Texas film-making industry, in many ways, is an "invisible" industry, of which large corporations needing film production are often unaware. Advertising agencies know little or nothing of the full range of facilities and talent in Texas. While costs are much lower in Texas, film production goes primarily to companies on the East and the West Coasts. Through a limited program of advertisement in the commercial advertising trade magazines, the TFC hopes to bring proper attention to the capable industry in Texas. Information Regarding Texas Right-to-Work Statutes It is the opinion of many in motion-picture production that the present depression occurring in the East and West Coast film industry is largely the result of inflationary union demands. Many producers, therefore, are attracted to Texas as a right-to-work state. The TFC program will provide relevant information to interested parties. Attraction of Hardware-Production Companies Another advantage of a Texas-based industry is that, in a time when the new portable film-making hardware is encouraging a highly mobile industry, Texas is unencum­ bered by the old studio technology and equipment. Again in conjunction with the Texas Industrial Commis­ sion staff, the Commission will attempt to anticipate the direction of the industry and attract to Texas the hardware­ and equipment-manufacturing companies who will provide the tools for this emerging new film technology. Educational and Public-Information Programs Whereas the film was once a toy and was used only for entertainment, today film is used primarily as a tool. Its use in education, medicine, and industry is well establishe.d. In order to develop the film industry to its full and most totally useful state for all Texans, much must be done to apprise Texans, young and old, of the great potential of this most communicative of all media. Public-Information Programs The staff of the TFC receives weekly a number of requests to speak to a variety of civic, governmental, and educational groups about the film media and TFC efforts to develop the film industry. The staff is pleased with this interest and feels it important to fill all the requests possible. The TFC will assist the Texas press and media personnel in any way possible to increase and make more effective their coverage of the film medium and use of it. This assistance often includes working with amusements editors and television personnel. Statewide Meetings of Teachers ofFilm Upon traveling to the universities which either presently have departments of film (both film production and film appreciation) or are interested in developing such depart­ments, the TFC staff has heard a recurring call for communication among the various elements of the film­teaching profession in Texas. The educational and docu­mentary film-making committee of TFC recommended that a statewide meeting be held for the professors from the several colleges and universities with departments of film or from those interested in developing them. This meeting is planned for the spring of 1972. Screenwriting Competition A major factor in the construction of the Texas industry is the development of an awareness of the film potential of Texas stories. One of the very important simultaneous by-products of a strong film industry in Texas will be a new sense of pride in the heritage and legend of her people. Texas Children's Media Center One of the most rapidly growing fields of film making is that of educational and documentary films, especially for children. The 1970 White House Conference on Children and Youth placed high on their list of nationwide priorities a national foundation and center for children's programing and film making. Months later no one in the country has stepped forward to accept this challenge and apply for the federal funds available for the project. The TFC has undertaken an extensive investigation into the potential for the location of such a center in Texas and has held meetings in Dallas and Houston with a wide range of film-making, medical, and educational professionals. The response to the concept has been overwhelming. Film Makers Apprenticeship Program A program for training apprentice film makers will entail cooperative efforts between the various film schools of Texas colleges and universities and the production compa­nies who come to Texas. The TFC will encourage produc- TEXAS BUSINESS REVIEW tion companies to use young film students whose services, in most cases, will count toward their degrees in film. Investment-Security Guidelines An ingredient crucial to the orderly development of the film industry is an educated and active film-investment community in Texas. It is paramount, however, that through the TFC educational and information programs the Commission protect potential investors, including invest­ment counselors, private investors, and banks. The staff will therefore develop a compendium of facts and procedures which will lead potential Texas investors to ask hard questions of the various proposed film projects. Texans, unfortunately, have a history of being "taken" by fly-by­night film companies. These guidelines will do much to end that very destructive history. Investment-Security Seminars Another phase of the same project will be the sponsor­ship of seminars for investors, bankers, and private individ­uals in which they can learn more about the motion-picture industry. The TFC plans call for the use of some officials of the Bank of America and other institutions whose support of the film industry goes back to its beginnings. Motion-Picture Law Seminars Similarly, Texas needs lawyers trained in the specialized laws regulating this industry. This project will be primarily the responsibility of the State Bar of Texas, with TFC assisting where necessary. Finally, the TFC hopes to create this year in the minds and media of the international film-making community an image of Texas as a mature, aggressive, and strong film-mak­ ing state with aspirations far above the simple location of a few entertaining motion pictures. The Commission hopes to establish Texas as a state where progressive modern film makers live, innovate, and create an advanced and compre­ hensive film culture. New Moneymen in the Film Industry While Texas and numerous other states are trying their hands in developing a film industry, a number of gray-flan­ neled industrialists are putting themselves into pictures. People in the movie industry have a word for new moneymen-individual businessmen or companies who want to invest in films: civilians. Businessmen who have looked into the movie game for possible participation have found that only two or three films out of ten make a profit. This seemingly black picture is not discouraging, however, to the growing number of "civilians" who are familiar with the venture-capital game. This is the game where private investors or a large company invest money in, say, three small film companies, watch two of them "bomb" and the third return ten times its investment. The point is, movies today are being produced on small budgets. For instance, Easy Rider, that has grossed $30 million so far, was filmed on a reported $500,000 budget. The same can be said for Candid Camera's Allen Funt, who produced What Do You Say to a Naked Lady? for the same amount. The cost of a film can be accounted in three ways. The table, or fixed-percentage, method regards what is happening at the box office and in return writes off every film at a predetermined percentage. The cost-recovery method writes off only the receipts that exceed current promotional and advertising costs. The third is the forecast­ing method that makes a separate estimate of the "drawing power" of each movie and writes it off accordingly. The forecasting accounting method helps a great deal when a film company finds that it has, say, an expensive $IO-million "dud" on its hands. If the table method is used the studio would have to write off the flop on the same schedule as its more successful, -money-making hits. This would incur an $8.5-million loss the first year. Using forecasting, however, the studio could write off the film over a period of five years or so and register only $2 million for a first-year loss. With cost-recovery accounting, the "bomb" could be carried for years as a $10-million asset. For that very reason, the accounting industry is trying to erase the cost-recovery method from the film maker's books. Still, there is another accounting plus. A saleable movie usually waits three years for television showing. With this long-range preview, the corporate controller has an idea when to expect some earnings from that particular film. When all is said and done, the new moneymen in films want to assure the investing public that not everything is worked out with numbers. Motion pictures fit right into various operations. Xerox is planning to make movies that are extensions of its educational products. Reader's Digest wants to exploit some of its old magazine properties on film. Quaker Oats and Mattel are already making children's films, and both are looking for marketable toy tie-ins. "The corporate investment in movies, big or small, turns in the end on one thing: the ability to make good films. Here again, the corporations think they know the real thing when they see it. After all, as TV advertisers they have been buying programing for years. 'It's not a leap into a new industry,' says Quaker Oates' Ken Mason. 'For us, it's just a step away from what we've been doing'."3 The film industry is in transition the world over; it is also on the threshold of a new era. With the updated mobile equipment and talented film makers of today-almost anything is possible. Texas plans to contribute to the future of the motion picture, and to play a continuing role in it. 3 Arlene Hershman, "The New Money in Movies "Dun's Review 97 (February 1971), pp. 33-34. ' ' HAPPY NEW YEAR! Statistical data compiled by Mildred Anderson, statistical associate, Constance Coo/edge and Glenda Riley, statistical assistants, and Kay Davis, statistical technician. The indicators of local business conditions in Texas which are included in this section are statistics on bank debits, urban building permits, and employment. The data are reported by metropolitan areas in the first table below and by municipalities within counties in the second table. Standard metropolitan statistical areas (SMSA's) in Texas are defined by county lines; in the first table the counties included in the area are listed under each SMSA. Since the Longview-Kilgore­Gladewater area is functioning as a significant metropolitan complex in its region, although not officially designated as an SMSA by the Bureau of the Census, data for this area have been included in the table for SMSA's. In both tables the populations shown for the SMSA's and for the counties are the preliminary population counts of the 1970 Census. In the second table the population values for individual municipalities are also preliminary counts of the 1970 Census, unless otherwise indicated. Population estimates made for municipalities in noncensus years are commonly based on utility connections, and these estimates·are subject to the errors inherent in a process dependent on base ratios derived in 1960. The values of urban building permits have been collected from participating municipal authorities by the Bureau of Business Research in cooperation with the Bureau of the Census of the U.S. Department of Commerce. Inasmuch as building permits are not required by county authorities, it must be emphasized that the reported permits reflect construction intentions only in incor· porated places. Permits are reported for residential and nonresi­dential building only, and do not include public-works projects such as roadways, waterways, or reservoirs; nor do they include construction let under federal contracts. The values of bank debits for all SMSA's and for most central cities of the SMSA's have been collected by the Federal Reserve Bank of Dallas. Bank debits for the remaining municipalities have been collected from cooperating banks by the Bureau of Business Research. Employment estimates are compiled by the Texas Employment Commission in cooperation with the Bureau of Labor Statistics of the U.S. Department of Labor. Footnote symbols are defined on pp.17 and 24. INDICATORS OF LOCAL BUSINESS CONDITIONS FOR STANDARD METROPOLITAN STATISTICAL AREAS November 1971 Reported area and indicator Nov 1971 Percent change from Oct Nov 1971 1970 Reported area and indicator Nov 1971 Percent change from Oct 1971 Nov 1970 ABILENE SMSA Jones and Taylor Counties; population 113,959 Urban building permits (dollars) 724,432 Bank debits, seas. adj. ($1,000) 205,727 Nonfarm employment 42,100 Manufacturing employment 5,940 Unemployed (percent) 3.0 AMARILLO SMSA Potter and Randall Counties; population 144,396 Urban building permits (dollars) 1,907,674 Bank debits, seas. adj. ($1,000) 601,559 Nonfarm employment 66,400 Manufacturing employment 8,500 Unemployed (percent) 4.0 AUSTIN SMSA Travis County; population 295,516 Urban building permits (dollars) 20,817,009 Bank debits, seas. adj. ($1,000) 1,068,934 Nonfarm employment 138,200 Manufacturing employment 12,260 Unemployed (percent) 2.7 BEAUMONT-PORT ARTHUR-ORANGE SMSA Jefferson and Orange Counties; population 315,943 Urban building permits (dollars) 2, l 53,660 Bank debits, seas. adj. ($1,000) 570,224 Nonfarm employment 121,200 Manufacturing employment 38, 100 Unemployed (percent) 5.3 BROWNSVILLE-~RLINGEN-SAN BENITO SMSA Cameron County; population 140,368 Urban building permits (dollars) 821,692 Bank debits, seas. adj. ($1,000) 233,174 Nonfarm employment 40,100 Manufacturing employment 6,360 Unemployed (percent) 8.6 7 8 l -6 -62 9 2 5 15 l 13 -21 9 -4 -38 33 2 :i 21 BRYAN-COLLEGE STATION SMSA Brazos County; population 57,978 96 Urban building permits (dollars) 978,567 -60 20 Bank debits ($ 1,000) 98,980 14 l (Monthly employment reports are not available 5 Bryan-College Station SMSA). -14 CORPUS CHRISTI SMSA Nueces and San Patricio Counties; population 284,832 Urban building permits (dollars) 6,267,671 32 85 Bank debits, seas. adj. ($1,000) 647,048 19 20 Non farm employ ment 95,300 • • 4 Manufacturing employment 11,190 •• l Unemployed (percent) 4.5 7 DALLAS SMSA Collin, Dallas, Denton, Ellis, Kaufman, and Rockwall Counties; population 1,555,950 160 Urban building permits (dollars) 46,701,117 61 44 Bank debits, seas. adj. ( $1,000) 11,946,7 11 9 6 Nonfarm employment 720,100 •• 3 Manufacturing employment 138,925 -2 •• Unemployed (percent) 3.0 -6 (Values for the construction of the Dallas-Fort Worth -12 28 for the 38 15 -2 -10 -8 19 -7 -14 Regional Airport [$45. 5 million) are not included because the projected airport is not within an urban permit-issuing area.) 10 EL PASO SMSA 11 El Paso County; population 359,291 3 Urban building permits (dollars) 8,27 3,100 26 119 10 Bank debits, seas. adj. ($1,000) 642,885 -7 4 Nonfarm employment 118,400 2 l ** Manufacturing employment 25,300 2 1 Unemployed (percent) 4.7 4 -11 -8 FORT WORTH SMSA24 Johnson and Tarrant Counties; population 762,086 3 3 Urban building permits (dollars) 11,711,726 25 6 30 6 6Bank debits, seas. adj. ($1,000) 2,080,727 TEXAS BUSINESS REVIEW Percent change from Nov Oct Nov Reported area anQ.. indicator 1971 1971 1970 FORT WORTH SMSA (Continued) Nonfarm employment 294,100 -1 Manufacturing employment 72,225 1 -13 Unemployed (percent) S.3 10 18 (Values for the construction of the Dallas-Fort Worth Regional Airport [ $45.S million) are not included because the projected airport is not within an urban permit-issuing area.) GALVESTON-TEXAS CITY SMSA Galveston County; population 169,812 Urban building permits (dollars) 2,129,465 1 114 Bank debits, seas. adj. ($1,000) 247,833 7 9 Nonfarm employment 59,900 1 6 Manufacturing employment 11,1 SO 1 7 Unemployed (percent) 6.1 20 9 HOUSTON SMSA Brazoria, Fort Bend, Harris, Liberty, and Montgomery Counties; population 1,985,031 Urban building permits (dollars) 44,089,772 -17 -25 Bank debits, seas. adj. ($1,000) 10,829,837 14 26 Nonfarm employment 890,500 1 1 Manufacturing employment 148,000 •• 2 Unemployed (percent) 3.4 13 17 KILLEEN-TEMPLE SMSA Bell and Coryell Counties; population 159,794 Urban building permits (dollars) Bankdebits($1,000) (Monthly employment reports Killeen-Temple SMSA.) 4,510,104 127,833 are not avai -lable 131 2 for 191 18 the LAREDO SMSA Webb County; population 72,859 Urban building permits (dollars) 689,275 16 816 Bank debits, seas. adj. ($1,000) 95,907 26 22 Nonfarm employment 25,200 •• •• Manufacturing employment 1,450 -4 -4 Unemployed (percent) 11.9 27 3 LONGVIEW-KILGORE-GLADEWATER METROPOLITAN AREA Gregg County; population 75,929 Urban building permits (dollars) 1,891,475 113 127 Bankdebits($1,000) 127,474 3 15 Nonfarm employment 36,000 1 1 Manufacturing employment 9,950 2 - 2 Unemployed (percent) S.3 8 26 (Building permits and bank debits are included for those portions of Kilgore and Gladewater in Rusk County and Upshur County.) LUBBOCK SMSA Lubbock County; population 179,295 Urban building permits (dollars) 4,636,121 90 68 Bank debits, seas. adj. ($1,000) 388,642 1 3 Nonfarm employment 67,200 2 4 Manufacturing employment 7,870 1 16 Unemployed (percent) 4.0 3 s McALLEN-PHARR-EDINBURG SMSA Hidalgo County; population 181,535 Urban building permits (dollars) 2,568,499 23 170 Bank debits, seas. adj. ($1,000) 169,799 13 17 Nonfarm employment 41,300 1 -7 Manufacturing employment 3,580 6 -15 Unemployed (percent) 9.0 27 23 MIDLAND SMSA Midland County; population 65,433 Urban building permits (dollars) 402,612 -90 58 Bank debits, seas. adj. ($1,000) 185,612 4 14 Nonfarm employment 62,400 • • 1 Manufacturing employment 5,350 •• 8 Unemployed (percent) 4,1 8 21 (Employment data are reported for the combined Midl~d and Odessa SMSA'S since employment figures for Midland and Ector Counties, composing one labor-market area, are recorded in combined form by the Texas Employment Commission.) Percent change from Nov Oct Nov Reported area and indicator 1971 1971 1970 ODESSA SMSA Ector County; population 91,805 Urban building permits (dollars) 4,785,064 280 1,125 Bank debits, seas. adj. ($1,000) 154,977 10 20 Nonfarm employment 62,400 ** 1 Manufacturing employment 5,350 ** 8 Unemployed (percent) 4.1 8 21 (Employment data are reported for the combined Midland and Odessa SMSA's since employment figures for Midland and Ector Counties, composing one labor-market area, are recorded in combined form by the Texas Employment Commission.) SAN ANGELO SMSA Tom Green County; population 71,047 Urban building permits (dollars) 271,788 -21 147 Bankdebits,seas.adj.($1,000) 132,154 17 23 Nonfarm employment 24,200 ** 1 Manufacturing employment 4,180 * * S Unemployed (percent) 4.0 25 S SAN ANTONIO SMSA Bexar and Guadalupe Counties; population 864,014 Urban building permits (dollars) 12,530,864 S 49 Bankdebits,seas.adj.($1,000) 1,878,467 15 16 Nonfarm employment 296,900 1 3 Manufacturing employment 35,350 1 6 Unemployed (percent) 4.8 7 -11 SHERMAN-DENISON SMSA Grayson County; population 83,225 Urban building permits (dollars) 716,432 142 -31 Bank debits, seas. adj. ($1,000) 104,639 14 14 (Monthly employment reports are not available for the Sherman-Denison SMSA.) TEXARKANA SMSA Bowie County, Texas, and Miller County, Arkansas; population 101,198 Urban building permits (dollars) 3,592,186 1,558 2,093 Bank debits, seas. adj. ($1,000) 140,257 15 24 Nonfarm employment 40,000 • • -1 Manufacturing employment 9,060 -1 -6 Unemployed (percent) 5.4 •• -19 (Since the Texarkana SMSA includes Bowie County in Texas and Miller County in Arkansas, all data, including population, refer to the two-county region.) TYLER SMSA Smith County; population 97,096 Urban ·building permits (dollars) 617,355 -32 -26 Bank debits, seas. adj. ($1,000) 214,437 4 11 Nonfarm employment 39,400 ** -1 Manufacturing employment 12,220 ** 1 Unemployed (percent) 4.0 14 ** WACO SMSA McLennan County; population 147,553 Urban building permits (dollars) 3,231,306 83 42 Bank debits, seas. adj. ($1,000) 318,873 13 22 Nonfarm employment 59,200 ** ** Manufacturing employment 12,050 ** -1 Unemployed (percent) 4.0 8 -18 WICHITA FALLS SMSA Archer and Wichita Counties; population 127,621 Urban building permits (dollars) 4,712,549 943 386 Bank debits, seas. adj. ($1,000) 235,973 s 29 Nonfarm employment 49,700 1 3 Manufacturing employment 6,160 1 17 Unemployed (percent) 3.1 19 -21 ** Absolute change is less than one half of 1 percent. JANUARY 1972 INDICATORS OF LOCAL BUSINESS CONDITIONS FOR INDIVIDUAL MUNICIPALITIES NOVEMBER 1971 Urban building permits Bank debits COUNTY City Population Nov 1971 (dollars) Percent change from Oct Nov 1971 1970 Nov 1971 (thousands of dollars) Percent change from Oct Nov 1971 1970 ANDERSON Palestine 27,789 14,525 141,100 304 77 21,737 7 17 ANDREWS Andrews 10,372 8,625 1,200 -98 -97 8,742 3 12 ANGELINA Lufkin 49,349 23,049 424,614 17 158 ARANSAS Aransas Pass 8,902 S,813 45,500 -45 13,234 7 10 ATASCOSA Pleasanton 18,696 5,407 6,720 10 20 AUSTIN Bellville 13,831 2,371 76,000 -31 84 7,647 -4 10 BAILEY Muleshoe 8,487 4,525 1S,438 7 11 BASTROP Smithville 17,297 2,959 27,625 -45 2,805 - I BEE Beeville 22,737 13,506 38,200 -17 255 23,337 14 14 BELL (In Killeen-Temple SMSA) Bartlett Belton Harker Heights Killeen Temple 124,483 1,622 8,696 4,216 35,507 33,431 1,116,239 152,113 1,010,862 1,930,684 670 112 28 234 126 107 130 368 1,528 41,319 70,627 -15 8 2 10 18 18 BEXAR (In San Antonio SMSA) San Antonio 830,460 654,153 11,380,449 40 1,692,85 I s 15 BOWIE (In Texarkana SMSA) Texarkana 67,813 52,179 3,571,886 122,624 3 24 BRAZORIA (In Houston SMSA) Angleton Clute Freeport Pearland 108,312 9,770 6,023 11,997 6,444 71 ,000 126,500 124,800 747,400 37 60 30 -18 179 258 18,322 5,658 29,733 9,072 -9 -13 8 8 27 10 7 22 BRAZOS (Constitutes Bryan-College Station SMSA) Bryan College Station 57,978 33,719 17,676 824,698 153,869 3 -90 167 -81 87,133 11,847 16 2 27 37 BREWSTER Alpine 7,780 S,971 599 -98 -97 6,405 16 22 BROWN Brownwood 25,877 17,368 2,747,375 BURLESON Caldwell 9,999 2,308 4 ,513 4 26 BURNET Marble Falls 11,420 2,209 6,681 2 16 CALDWELL Lockhart 21 ,178 6,489 102,981 -16 277 9,017 - 8 21 CAMERON (Constitutes Brownsville­Harlingen-San Benito SMSA) Brownsville Harlingen La Feria Los Fresnos Port Isabel San Benito 18 140,368 52 ,522 33,503 2 ,642 1,29 7 3,06 7 15,176 507,855 241 ,695 5, 1 so 51 ,292 10 9 39 -92 250 -63 -61 277 77,321 s 30 79,293 10 15 2,452 13 15 2,341 -13 24 5,141 -21 74 7,668 -s 19 TEXAS BUSINESS REVIEW Urban building permits Bank debits COUNTY City Population Nov1971 (dollars) Percent change from Oct Nov 1971 1970 Nov1971 (thousands of dollars) Percent change from Oct Nov 1971 1970 CASTRO Dimmitt 10,394 4,327 2S,87S 9 - 7 CHEROKEE Jacksonville 32,008 9 ,734 20,000 -86 -S2 27,8S6 6 21 COLEMAN Coleman 10,288 S,608 0 19,llS 20 COLLIN (In Dallas SMSA) McKinney Plano 66,920 lS,193 17,872 l 7S,47S 2,64S,360 -16 30 269 487 1S,202 19,S24 s 1 6 62 COLORADO Eagle Lake 17,638 3,S87 S,214 3 8 COMAL New Braunfels 24,16S 17,8S9 23,399 19 COOKE Gainesville Muenster 23,471 13,830 1,411 197,3SO 48,000 -48 1S3 172 109 20,S03 3,790 4 1 13 29 CORYELL (In Killeen-Temple SMSA) Copperas Cove 3S,311 10,818 300,206 -19 132 4 ,632 36 CRANE Crane 4,172 3,427 24,SOO 4,0S2 22 S6 DALLAS (In Dallas SMSA) Carrollton Dallas Farmers Branch Garland Grand Prairie Irving Lancaster Mesquite Richardson Seagoville 1,327,321 13,8SS 844,401 27,492 81,437 S0,904 97,260 10,S22 SS,131 48,S82 4,390 4,312,161 19,S 16,S34 1,721,683 8,S3S,068 1,324,099 1,S37,7S7 131,2SO 646,404 884,89S 73,800 78 34 33 137 -4S -18 -S7 -62 -23 -62 976 -20 796 3 -16 34 -SS -70 -44 17,822 10,749,090 21 ,469 73,609 33,SS3 89,34S 9 ,S99 29,092 99,128 6,862 - 12 s 1 9 12 11 26 6 24 6 63 18 -2 19 26 2S 9 22 48 -37 DAWSON Lamesa 16,604 11,SS9 2,300 -98 -99 20,27.7 -11 DEAF SMITH Hereford 18,999 13,414 190,900 -49 -3S DENTON (In Dallas SMSA) Denton Justin Lewisville Pilot Point 7S,633 39,874 741 9 ,264 1,663 1,492,S60 1,SOO 2,233,SS6 429,07S 111 -89 49 61S -SS 470 66,6S3 1,463 18,8S3 3,920 -12 8 8 lS 7 19 61 32 DE WITT Yoakum 18,660 S,7SS 108,200 2Sl S8 13,S47 - 1 27 EASTLAND Cisco 18,092 4 ,160 S,04S 20 13 ECTOR (Constitutes Odessa SMSA) Odessa 91,80S 78,380 4,78S,064 280 147,771 8 23 ELLIS (In Dallas SMSA) Ennis Midlothian Waxahachie 46,638 11 ,046 2,322 13,4S2 6S,37S 102,9SO 204 -3S 263 -67 18,014 2,S30 22,8S8 - 49 •• 4 71 63 26 EL PASO (Constitutes El Paso SMSA) El Paso 3S9,291 322,261 8,273,100 26 119 649,307 - 3 4 ERATH Stephenville 18,191 9,277 138,300 - 2 -92 1S,9S2 -10 14 JANUARY 1972 Urban building permits Bank debits COUNTY City Population Nov1971 (dollars) Percent change from Oct Nov 1971 1970 Nov 1971 (thousands of dollars) Percent change from Oct Nov 1971 1970 FANNIN Bonham 22,705 7,698 69,750 - 4 61 15,738 18 22 FAYETTE Schulenburg 17,650 2,294 14,000 175 - 7 FORT BEND (In Houston SMSA) Richmond Rosenberg 52,314 5,777 12,098 1,155,776 241,630 170 43 733 11,662 10,685 6 8 9 GAINES Seagraves Seminole 11 ,593 2,440 5,007 0 19,095 420 2,686 11,336 20 86 •• 19 GALVESTON (Constitutes Galveston-Texas City SMSA) Dickinson Galveston La Marque Texas City 169,812 10,776 61,809 16,131 38,908 1,360,055 29,095 740,31 s -18 -85 195 623 -20 -4 14,136 150,082 19,075 36,282 --- 2 3 10 2 26 s 11 10 GILLESPIE Fredericksburg 10,553 5,326 232,650 315 293 21,556 17 18 GONZALES Nixon 16,375 1,925 22,250 417 70 GRAY Pampa 26,949 21,726 11,100 -82 -63 41,816 4 20 GRAYSON (Constitutes Sherman-Denison SMSA) Denison Sherman 83,225 24,923 29,061 170,198 525,734 -16 465 -34 -28 35,870 59,294 - 15 4 19 9 GREGG (Constitutes Longview-Kilgore-Gladewater Metropolitan Area) Gladewater Kilgore Longview 75,929 5,574 9,495 45,547 26,600 58,375 1,806,500 6 -so 143 -80 35 176 6,463 19,689 101,322 - 22 3 6 31 15 14 GUADALUPE (In San Antonio SMSA) Schertz Seguin 33,554 4,061 15,934 403,039 546,288 452 368 431 1,124 39,633 - 4 71 19 103 HALE Hale Center Plainview 34,137 1,964 19,096 0 249,400 142 - 10 62,758 14 12 HARDEMAN Quanah 6,795 3,948 62,500 79 6,863 18 21 HARDIN Silsbee 29,996 7,271 13,170 8 32 HARRIS (In Houston SMSA) Baytown Bellaire Deer Park Houston Humble La Porte Pasadena South Houston Tomball 1,741,912 43,980 19,009 12,773 1,232,802 3,278 7,149 89,277 11,527 2,734 3,314,306 191,513 623,290 35,358,798 50,000 44,900 1,1 75,509 2,400 8 219 15 -19 -89 -75 -19 -98 177 207 -35 -55 -89 165 75,2'23 65,655 15,536 9,178,746 12,025 4,428 134,992 16,846 -- •• 29 3 11 2 6 22 28 40 -8 25 16 -10 29 4 HARRISON Hallsville Marshall 44,841 1,038 22,937 149,710 -30 84 1,145 29,748 2 5 6 5 HASKELL Haskell 8,512 3,655 38,500 114 6,621 36 25 TEXAS BUSINESS REVIEW Urban building permits Bank debits COUNTY City Population Nov 1971 (dollars) Percent change from Oct Nov 1971 1970 Nov1971 (thousands of dollars) Percent change from Oct Nov 1971 1970 HAYS San Marcos 27,642 18,860 96,650 -74 -94 19,382 20 29 HENDERSON Athens 26,466 9,582 79,285 -43 19,593 5 29 HIDALGO (Constitutes McAllen-Pharr-Edinburg SMSA) Alamo Donna Edinburg Elsa McAllen Mercedes Mission Pharr San Juan Weslaco 181,535 4,291 7,365 17,163 4,400 37,636 9,355 13,043 15,829 5,070 15,313 29,859 159,800 1,922,365 73,740 209,095 121,435 2,650 109,295 -37 -87 331 142 82 -94 -5 -21 -47 511 234 165 272 -75 -15 3,770 5,381 34,916 3,708 52,752 8,322 19,219 6,923 4,766 19,120 --- 11 26 4 3 6 1 10 18 1 11 - 10 21 44 1 10 23 18 23 26 36 HOCKLEY Levelland 20,396 11,445 103,000 •• 14 24,077 26 - 7 HOOD Granbury 6,268 2,473 3,467 12 32 HOPKINS Sulphur Springs 20,710 10,642 448,200 106 363 32,274 10 21 HOWARD Big Spring 37,796 28,735 45,908 227 171 59,786 11 HUNT Greenville 47,948 22,043 168,990 -23 39 31,020 8 9 HUTCHINSON Borger 24,443 14,195 57,650 634 JACKSON Edna 12,975 5,332 11,630 5 37 JASPER Jasper Kirbyville 24,692 6,251 1,869 20,300 -51 -83 17,597 3,038 - 2 11 15 14 JEFFERSON (In Beaumont-Port Arthur-Orange SMSA) Beaumont Groves Nederland Port Arthur Port Neches 244,773 115,919 18,067 16,810 57,371 10,894 1,536,785 87,032 211,937 213,950 -13 -32 84 -45 93 3~ 4 -72 323,305 19,668 12,050 85,026 20,353 --- 2 17 4 8 13 9 43 12•• 28 JIM WELLS Alice 33,032 20,121 400,358 12 98 52,584 28 JOHNSON (In Fort Worth SMSA) Cleburne 45,769 16,015 307,550 -46 78 24,696 8 9 KARNES Karnes City 13,462 2,926 18,600 796 - 3 5,329 23 KAUFMAN (In Dallas SMSA) Terrell 32,392 14,182 66,300 -54 -73 KIMBLE Junction 3,904 2,654 3,325 8 KLEBERG Kingsville 33,166 28,711 831 ,215 188 266 28,229 12 31 LAMAR Paris 36,062 23,441 420,555 26 30 LAMB Littlefield 17,770 6,738 2,150 514 - 77 9,967 9 - 2 JANUARY 1972 Urban building permits Bank debits COUNTY City Population Nov 1971 (dollars) Percent change from Oct Nov 1971 1970 Nov 1971 (thousands of dollars) Percent change from Oct Nov 1971 1970 LAMPASAS Lampasas 9,323 5,922 225,450 76 12,084 4 15 LAVACA Hallettsville Yoakum 17,903 2,712 5,755 20,700 108,200 242 251 37 58 5,262 13,547 -- 21 1 21 27 LEE Giddings 8,048 2,783 43,300 -34 -72 8,588 - 3 31 LIBERTY (In Houston SMSA) Dayton Liberty 33,014 3,804 5,591 33,635 44,400 434 -38 10 7,307 16,906 •• 15 26 14 LIMESTONE Mexia 18,100 5,943 24,400 185 LLANO Kingsland Llano 6,979 1,262 2,608 10,500 75 8,458 7,135 - 11 2 76 25 LUBBOCK (Constitutes Lubbock SMSA) Lubbock Slaton 179,295 149,101 6,583 4,571,121 65,000 91 67 368,536 6,478 4 9 2 19 LYNN Tahoka 9,107 2,956 0 4,646 5 - 15 McCULLOCH Brady 8,571 5,557 61,900 -56 -34 10,176 - 14 11 McLENNAN (Constitutes Waco SMSA) McGregor Waco 147,553 4,365 95,326 15, l 00 3,161,706 84 586 40 5,992 267,262 15 1 20 22 MATAGORDA Bay City 27,913 11,733 569,750 25,756 21 MAVERICK Eagle Pass 18,093 15,364 110,545 -57 -79 14,733 9 3 MEDINA Castroville Hondo 20,249 1,893 5,487 500 15,712 -17 -67 160 1,522 5,395 3 4 6 13 MIDLAND (Constitutes Midland SMSA) Midland 65,433 59,463 402,61'2 -90 58 179,314· 5 15 MILAM Cameron Rockdale 20,028 5,546 4,655 50,750 220 75 9,522 7,952 2 3 27•• MILLS Goldthwaite 4,212 1,693 6,151 - 5 13 MITCHELL Colorado City 9,073 5,227 7,650 13 25 MONTGOMERY (In Houston SMSA) Conroe 49,479 11 ,969 205,000 -83 - 5 56,739 23 54 MOORE Dumas 14,060 9,771 64,830 -70 105 NACOGDOCHES Nacogdoches 36,362 22,544 203,013 -89 -69 37,139 11 NAVARRO Corsicana 31,150 19,972 200,025 59 103 37,680 10 21 NOLAN Sweetwater 16,220 12,020 168,97 5 402 24,558 16 34 TEXAS BUSINESS REVIEW Urban building permits Bank debits COUNTY City Population Nov 1971 (dollars) Percent change from Oct Nov 1971 1970 Nov 1971 (thousands of dollars) Percent change from Oct Nov 1971 1970 NUECES (In Corpus Christi SMSA) Bishop Corpus Christi Port Aransas Robstown 237,S44 3,466 204,S2S 1,218 11 ,217 9,800 S,369,4S8 233,710 36 316 46 48 3,3S9 S04,440 1,0S8 18,819 - 4 lS 6 2 -24 17 -23 -3 ORANGE (In Beaumont-Port Arthur-Orange SMSA) Orange 71 , 1 70 24,4S7 101 ,6S6 -67 32 61,432 18 21 PALO PINTO Mineral Wells 28,962 18,411 46,713 -44 -SS 28,334 - 2 PANOLA Carthage 1S,894 S,392 SS,7SO -48 6,2S9 s 28 PARKER Weatherford 33,888 11 ,7SO 1S3,SOO -17 132 29,S43 lS 27 PARMER Friona 10,S09 3,111 31,SOO -44 - 7 29,134 4 4 PECOS Fort Stockton 13,748 8,283 39,930 -34 290 13,913 -4 42 POTTER (In Amarillo SMSA) Amarillo 90,Sll 127,010 1,786,874 -61 82 571,424 6 19 RANDALL (In Amarillo SMSA) Amarillo (See Potter) Canyon S3,88S 8,333 120,800 -73 145 13,0S 1 13 35 REEVES Pecos 16,S26 12,682 2,700 -89 -97 31,064 29 30 REFUGIO Refugio 9,494 4,340 10,200 -58 2 8,034 36 28 RUSK Henderson Kilgore 34,102 10,187 9,495 193,975 58,375 67 -so 114 35 22,408 19,689 4 3 23 15 SAN PATRICIO (In Corpus Christi SMSA) Aransas Pass Sinton 47,288 S,813 S,563 45,500 427,546 -4S 33 165 13,234 10,887 7 2 10 4 SAN SABA San Saba S,540 2,SSS 0 9,422 8 10 SCURRY Snyder lS,760 11,171 109,500 78 2 23,051 32 15 SHACKELFORD Albany 3,323 1,978 0 3,693 10 SHERMAN Stratford 3,657 2,139 0 17,435 4 17 SMITH (Constitutes Tyler SMSA) Tyler 97,096 57,770 607,355 -33 -27 193,046 2 11 STEPHENS Breckenridge 8,414 S,944 33,500 91 SUTTON Sonora 3,175 2,149 4 ,000 14 471 3,120 -29 -s TARRANT (In Fort Worth SMSA) Arlington Euless Fort Worth Grapevine North Richland Hills White Settlement 716,317 90,643 19,316 393,476 7,023 16,S14 13,449 4 ,988,400 249,660 7,721,389 1 SS,140 532,800 52,542 -2 -51 S8 42 52 -71 16 44 84 s -18 -94 109,502 1,785,324 10,162 19,591 - 8 2 3 3 4 s 40 9 JANUARY 1972 Urban building permits Bank debits COUNTY City Population Nov 1971 (dollars) Percent change from Oct Nov 1971 1970 Nov 1971 (thousands of dollars) Percent change from Oct Nov 1971 1970 TAYLOR (In Abilene SMSA) Abilene 97,853 89,653 724,432 - 6 113 175,383 4 21 TERRY Brownfield 14,118 9,647 451,250 724 21 ,363 - 2 3 TITUS Mount Pleasant 16,702 8,877 102,613 -11 19 26,149 9 35 TOM GREEN (Constitutes San Angelo SMSA) San Angelo 71,047 63,884 271,788 -21 147 123,573 7 23 TRAVIS (Constitutes Austin SMSA) Austin 295,516 251,808 20,817,009 ** 160 1,061,059 22 44 UPSHUR Gladewater 20,976 5,574 26,600 6 -80 6,463 -22 31 UPTON McCamey 4,697 2,647 2,295 -10 29 UVALDE Uvalde 17,348 10,764 456,978 460 124 25,481 3 36 VALVERDE Del Rio 27,471 21,330 222,951 29 47 25,596 17 34 VICTORIA Victoria 53,766 41 ,349 398,735 -29 32 113,224 ** 22 WALKER Huntsville 27,680 17,610 521,000 91 24,326 - 9 18 WARD Monahans 13,019 8,333 61,200 -95 580 11 ,831 -16 2 WASHINGTON Brenham 18,842 8,922 130,543 -84 -53 26,270 - 6 31 WEBB (Constitutes Laredo SMSA) Laredo 72,859 69,024 689,275 16 816 91,356 19 22 WHARTON El Campo 36,729 8,563 39,795 -66 281 21 ,862 - 9 18 WICHITA (In Wichita Falls SMSA) Burkburnett Iowa Park Wichita Falls 121,862 9,230 5,796 97,564 181,580 39,290 4,530,969 634 965 340 372 9,625 4,086 199,445 1 1 2 s 21 31 WILBARGER Vernon 15,355 11,454 26,641 18 WILLACY Raymondville 15,570 7,987 135,100 206 851 13,087 6 -3 WILLIAMSON Bartlett Georgetown Taylor 37,305 1,622 6,395 9,616 354,550 98,750 23 8 185 99 1,528 11 ,546 15,725 -15 7 -5 10 33 16 WINKLER Kermit 9,640 7,884 1,200 -82 -25 WISE Decatur 19,687 3,240 0 5,399 -16 3 YOUNG Graham Olney 15,400 7,477 3,624 81 ,000 1,200 - 24 92. 432 17,754 8,363 2 8 37 55 ZAVALA Crystal City 11 ,370 8,104 31,415 -14 -58 6,770 4 16 * For 1970 unless otherwise indicated. ** Absolute change is less than one half of 1 percent. No data, or inadequate basis for reporting. TEXAS BUSINESS REVIEW BAROMETERS OF TEXAS BUSINESS (All figures are for Texas unless otherwise indicated.) All indexes are based on the average months for 1957-1959 except where other specification is made; all except annual indexes are adjusted for seasonal variation unless otherwise noted. Employment estimates are compiled by the Texas Employment Commission in cooperation with the Bureau of Labor Statistics of the U.S. Department of Labor. The symbols used below impose qualifications as indicated here: p -preliminary data subject to revision; r-revised data; *-dollar totals for the fiscal year to date; t -employment data for wage and salary workers only. Year-to-date average Nov Oct Nov 1971 1971 1970 1971 1970 GENERAL BUSINESS ACTIVITY Estimates of personal income {millions of dollars, seasonally adjusted) •• $ 3,701p $ 3,575p $ 3,342r $ 3,540* $ 3,286 In.come payments to individuals in U.S. {billions, at seasonally adjusted annual rate) .. . . . . $ 876.oP $ 872.5p $ 815.7r $ 855.8 $ 801.3 Wholesale prices in U.S. {unadjusted index) 121.5 121.4 117.7 120.8 117.1 Consumer prices in U.S. {unadjusted index) 142.6 142.4r 137.8 140.9 135.0 Sales of ordinary life insurance {index) ..... . . .. 332.4 303.1 295.0 288.7 265.5 PRODUCTION Total electric-power use (index) ... . Industrial electric-power use {index) 322.1 p 266.3p 319.5p 253.5p 262.1 r 232.8r 297.2 248.0 267.8 229.0 Crude-oil production (index) ..... . 111.7P 113.1 p 133.0r 122.0 124.2 Average daily production per oil well {bbl.) 16.6 16.7 18.4 16.6 17.4 Crude-oil runs to stills {index) .. ......... Industrial production in U.S. {index, 1967=100} Texas industrial production-total (index) ..... Texas industrial production-total manufactures {index) Texas industrial production-durable manufactures (index) Texas industrial production-nondurable manufactures {index) Texas industrial production-mining (index) .. Texas industrial production-utilities {index) 140.0 107.0p 181.9p 203.7p 201.6p 204.7p 132.2p 281.3p 144.3 106.2p 179.0p 200.0p 197.4p 201.5p 132.3p 265.7p 144.8 102.6r 179.4r 194.2r 19S.7r 191.2r 142.8r 266.2r 141.6 106.2 179.4 198.1 198.5 197.8 134.5 280.0 135.4 106.7 178.3 198.2 210.9 189.8 134.4 262.6 Urban building permits issued (index) ..... ... 278.9 205.4 234.9 244.5 193.6 New residential building authorized {index) .. 261.3 211.0 227.3 218.5 153.5 New nonresidential building authorized {index) 291.5 192.9 249.0 284.8 258.3 AGRICULTURE Prices received by farmers {unadjusted index, 1910-14=100} 308 304 270 292 276 Prices paid by farmers in U.S. (unadjusted index, 1910-14=100) 415 414 395 409 390 Ratio of Texas farm prices received to U.S. prices paid by farmers ... 74 73 68 71 71 FINANCE Bank debits (index) 370.2 348.8 310.7 348.5 307.8 Bank debits, U.S. (index) 441.8 420.4 363.8 404.7 351.7 Reporting member banks, Dallas Federal Reserve District Loans (millions) . ... .. . . ... ..... .. .. . $ 7,138 $ 7,013 $ 6,398 $ 6,850 $ 6,100 Loans and investments {millions) . . . ... . .. . . $ 10,352 $ 10,288 $ 9,271 $ 9,975 $ 8,748 Adjusted demand deposits {millions) ... .. .. . . $ 3,666 $ 3,521 $ 3,389 $ 3,559 $ 3,288 Revenue receipts of the state comptroller {thousands) . $396,297 $ 239,619 $344,391 $ 306,923 $ 270,399 Federal Internal Revenue collections {thousands) . $641,369 $ 902,336 $537,700 $3,168,326* $2,694,915 * Securities registrations-original applications Mutual investment companies (thousands) .. . $ $ 26,958 $ 17,768 $ * $ 60,706 * All ottier corporate securities Texas companies {thousands) ..... . ... $ $ 31 ,443 $ 33,468 $ * $ 58,898* Other companies {thousands) .. .... . $ $ 40,615 $ 8,836 $ * $ 54,076* Securities registration-renewals Mutual investment companies (thousands) . $ $ 26,598 $ 38,106 $ * $ 139,072 * Other corporate securities {thousands) .. . $ $ 262 $ 894 $ * $ 1,564* LABOR Total nonagricultural employment in Texaa (index)t Manufacturing employment in Texas {index)t ... Average weekly hours-manufacturing {index)t .. Average weekly earnings-manufacturing (index)t Total nonagricultural employment (thousands)t . Total manufacturing employment (thousands)t Durable-goods employment (thousands)t . . Nondurable-goods employment {thousands)t 148.2p 145.8p 98.7p 158.5p 3,682.3p 706.oP 372.9p 333.1 p 147.9p 146. 3p 98. l p 158.2p 3,674.6p 707.7p 373.8p 333.9p 146.9r 148.4r 98.2r 152.6r 3,652.2r 718.8r 38 3.6r 335.2r 147.4 145.9 98.9 157. l 3,642.5 707.2 373.9 333.1 147.2 153.6 98.8 149.9 3,637.4 744.5 409.9 334.6 Total civilian labor force in selected labor-market areas {thousands) .. .. ... . . . . .. . . 3,543. 1 3,515.1 3,516.2 3,518.3 3,494.2 Nonagricultural employment in selected labor-market areas {thousands) .... . ..... ..... .... Manufacturing employment in selected labor-market 3,327.8 3,314.4 3,297.0 3,29 1.5 3,289.1 areas (thousands) ........ . . ... . ..... 585.2 589.1 59 8.1 589.9 627. l Total unemployment in selected labor-market areas {thousands) . ... .. .. ... . ... . .. . 146.1 133.6 143.0 148.1 123.1 Percent of labor force unemployed in selected labor-market areas ... . .... .... . . . 4.1 3. 8 4.1 4.2 3.5 BUREAU OF BUSINESS RESEARCH RETURN REQUESTED THE UNIVERSITY OF TEXAS AT AUSTIN SECOND-CLASS POSTAGE PAID AT AUSTIN, TEXAS AUSTIN, TEXAS 78712 S-COMP 8US • SOC SCI LieR Mg 224 CM-tPUS MAIL MEASUREMENT AND ENVIRONMENTAL DETERIORATION by Boyd D. Collier Research Monograph No. 34 Change must come to the national accounting system. The old philosophi­cal theory of the competitive market as guideline for measurement is yielding in this technological age to a view of the economy as a cybernetic system, with enough flexibility to function toward formulating policy. Dr. Boyd D. Collier, assistant professor of economics at the University of North Carolina, has attempted to fill part of the gap in the literature ofnational accounting by identifying new bases, and by showing why accountancy should be more involved in the measurements of the national economy. Dr. Collier finds, in developing his model for national accounting, that with a dynamic, evolving economy the theories on which its economic measurements are based must also be evolutionary. The analysis of the economy as a cybernetic system makes perceptible the existence of disproduct, the negative factor in national output and welfare and an unavoidable accompani­ment of a technological society. This study shows that accounting as an instrument of planning and as a tool of economic policy must emphasize the interaction of theory and practice and must provide evolutionary measurements for an evolutionary economy. xi +c. 105 pp. $3.00 (Texas residents pay $.15 sales tax.) Bureau of Business Research The University of Texas at Austin