Newspapers / State Port Pilot (Southport, … / Jan. 9, 1952, edition 1 / Page 2
Part of State Port Pilot (Southport, N.C.) / About this page
This page has errors
The date, title, or page description is wrong
This page has harmful content
This page contains sensitive or offensive material
Babson Sees Good Year Ahead By ROGER W. BABSON 1. Excluding defense orders, the total business volume in 1952 will be less than that for 1951. However, National Income in 1952 will be very high, as war orders take the place of peace production. Government Controls 2. The outstanding features of 1952—barring all-out war—will be the Presidential election on No vember 4, 1952. I comment fur ther upon this under paragraph 48. 3. The Administration and its economic advisors appear finally convinced that radical inflation ■ is about to break out next year. But the “braintrusters” are over looking the fact that the boom is already old and that it was . creaking badly when the Kore an war broke out. The date of the slide has only moved ahead. 4. Farm income will continue high in 1952. 5. As 1952 wears on, the ef fect of controls, increased taxes . and high prices will cause a de ‘ dine in legitimate business. If . civilian production declines too much, the people may then cry, I “This is a government-made slump; let’s change the Admin istration.” 6. If in 1952 it becomes evident that business is declining too much as a result of government curbs, the planners at Washing 1 ton will rush their patient into an oxygen tent. Labor Outlook 7. Many labor groups will be successful in getting another round of wage increases in 1952, Although there may be more im portant strikes in the first part of 1952, there should be a decline in work stoppages in the last half year. 8. Tightness in the labor sup ply will continue through 1952, particularly of highly skilled workers. Wages of such work ers will be advanced voluntarily in order to hold them. 9. The Taft-Hartley Law will not be repealed during 1952, but may be amended. The adminis trators of the law Will continue to wink at some of its clauses. Commodity Prices Firm 10. Wholesale prices of many commodities will suffer a mild decline in 1952 when compared with the price level for Decem ber 31, 1951. In some lines the drop may be quite steep from the high levels of 1951. Retail pri ces for 1952 will hold steady. 11. Commodity speculation for a rise will not pay in 1952. Fur thermore, our expanding stock piles of strategic materials pre sent a real price threat in the event of a peace scare. Such stockpiles could then act strong ly as a depressant on prices. Wise merchants will operate with only a conservative inventory. 12. The cost of living will re main high during 1952. This prediction recognizes that living costs next year may continue above the lower levels that ex isted during the first half of the year now closing. I also pre dict further rises in freight and passenger rates. Farm Outlook Good 13. Congress will not take any action during 1952 to legally bol ster so-called Fair Trade price maintenance. It’s tco risky po litically when consumers are complaining about the cost of living. But, some manufacturers will tighten up on distributors, eliminating those who won’t sign Fair Trade contracts. 14. Barring crflp failures, the total supply of food available should be larger in 1952 than for The Remsula Restaurant Welcomes Your Patronage, Neighbor ! Drop By To See Us Often... Steaks Chops Sea-Food Regular Dinners HOURS—7:00 a. m. to 10:00 p. m. SUNDAYS—2:00 p. m. to 10:00 p. m. REMSULA RESTAURANT R. C. HAMILTON, JR. - SHALLOTTE, N. C. 1951, since the government will raise planting quotas as part of its attack on inflation. If the weather is extremely favorable, the government will be asked to give away surplus crops. 15. With prospects good for a rising supply of feed grains, most meat should be more plentiful next year than in 1951. Prices fof beef, however, will be held up by high wages and military needs. Local Taxes Higher 16. The burden of Federal tax es, both corporate and personal, will not be increased again dur ing 1952 above the advance late in 1951. State and Municipal taxes, however, will go higher again. 17. The above forecast is bas ed on the assumption that unless Stalin starts World War III du ring the early months of 1952, he has made up his mind to for get World War III until the Uni ted States and our Allies again "Go to sleep,” which may be some years hence. We give this as a definite prediction as to the outlook for World War III. 18. There are three ways of preventing inflation: (1) increas ed production: (2) decreased spending: and (3) as a last re sort, increased taxes. I forecast that the current exploitation and accompanying fear of inflation are not yet at their peaks for this business cycle. 19. States and Municipalities will again be under pressure to find adequate sources of reve nue. Further increases in sales taxes by States and Municipali ties can be looked for next year. 20. There will be no increase in “luxury” taxes during 1952. Domestic Trade Uncertain 21. Credit curbs will continue to hold down the demand for au tomobiles and certain household equipment. Completions of few er dwellings will also act as a damper on furniture sales. 22. Falling demand for hand goods should stimulate the pub lic’s spending for food and low er priced soft goods. 23. The above trend forecast will mean a decline in department store volume. I predict a rise in the sales of variety and drug chains. Foreign Trade Outlook 24. I believe that armament is to become a new and permanent industry, at least for many years to come. Airplanes, tanks, ar artillery, guns and munitions will be constantly replaced as they be come obsolete. This new activi ty will operate much as the au tomobile industry has operated. I forecast that this will be more and more recognized throughout 1952. 25. Barring nefv war develop ments, I look for continued shri nkage in our civilian exports during 1952. Imports, however, may rise further. Exports to South America will be off. To tal foreign trade should not be changed much, but the exporters will be on the short end of this business with the importers gain ing. 26. Except for war supplies, it will become more difficult to convince Congress that additional FARMERS WE HAVE YOUR OLD RELIABLE (y-ch VIRGINIA - CAROLINA FERTILIZERS THERE'S NONE BETTER! PLACE YOUR ORDER NOW! Odell Williamson SHALLOTTE, N. C. heavy credits should be granted abroad. 27. Many domestic manufactu rers will feel increasing compe tition from foreign merchandise. A cry for increased tariff pro tection will be heard; but no rad ical tariff legislation will result. More Deficit. Financing 28. The first quarter of 1952 may actually see a budget sur plus as a result of high National Income and increased taxation. But, a Federal deficit will sure ly arise during' the balance of the year. 29. Government loans will grad ually increase during 1952 and there will be some strengthening of basic interest rates. 30. Government bonds will con tinue to be held tightly between the floor of Federal Reserve support purchases and the ceil ing of Federal Reserve anti-in flation sales. Under such condi tions, price changes should be negligible during 1952. iil. While Canada and South America have permitted “free markets” or revaluation of gold, because of increases in cost of production, the Administration is still opposed. The Gold Stock of the United States is, however, likely to be revalued upward when the nation, in the opinion of government economists, “needs another shot of inflation.” This will not be in 1952. Stock Market And Bond Outlook 32. Until the danger of war is past, wise people who can ea sily do so will move out of large bomb-vulnerable cities and avoid having investments in such areas. 33. Sometime during the year 1952 stocks will sell lower than current quotations. This applies especially to oils and certain “blue chips.” 34. Stocks now in the best po sition for 1952 should be many of those that have not been pop ular as inflation hedges in the past months. I like good chain variety store stocks, certain mo vie stocks and possibly the air transportation issues. 34. Investment trust funds, pen sion funds, and insurance compa nies may provide an excellent backlog of demand for sound in come stocks where good values can be demonstrated. 36. Successful investors of 1952 will be those who have the pa tience to follow a carefully plan ned investment program. Such a program will emphasize diversi fication — not only by compa ny and industry, but also by quality and cash. 37. Highest grade taxable cor porate bonds should hold in a narrow price range during 1952, but I see no reason for individ ual investors to buy then} un less they are convertibles. 38. With present high income taxes, tax-exempt bonds should'* continue in good demand. Invest ors should see to it that their bond maturities are carefully di versified, with some part of their bond funds maturing each year. As there usually is not a good market for tax-exempts when an estate is liquidated, it is wise to hold only such bonds as will ma ture near the time of one’s pro bable death. Real Estate Activity 39. Much of the recent real es tate boom was the result of easy credit, — almost nothing down and small payments for years hen ce. Under the recent legislation there will be fewer small homes built in 1952; but some credit restrictions will be modified. Mor tgage money should soon be had on more liberal terms. 40. Nonessential commercial building will be hit in 1952 — but, barring World War III, con trols will be lessened rather than increased. 41. The decline in new building will continue to throw a wet blan ket over speculation in vacant su burban lots during 1952. 42. The scare caused by the Korean-China War and fears of an early outbreak in other sec tions will adversely affect the demand for big city real estate. This fear, however, is declining and many who had put their city properties up for sale are with drawing them. 43. Small sustenance farms sho uld hold up well in price as these continue to be valuable inflation hedges. Demand for large commer cial farms, however, should wea ken as the year progresses. 44. Any swing toward rent control will act as a further dam per on new apartment house buil ding. There is as yet no incentive to build homes for rental income, although rent control is gradual ly lessening. 45. Tighter credit controls will make it more difficult to im prove older residential properties. Hence the prices for these should weaken even though these are now the best buys. 46. Volume of money and cred it in circulation will continue to increase to about the peak of a few years back. The big rise has been in credit. Much of the credit increase is “secur ed" by commodity and property values that can shrink greatly when defense spending ends. Defense Orders And Politics 47. Those who can do so should attempt to get defense orders if needed to hold up production vol umes and reduce overhead. Not too much profit from such war business should be expected. These contracts will be subject to tightfisted negotiations. 48. The political outlook for 1952 will be completely dominat ed by jockeying for- position in the Presidential race for 1952. Barring World War III, Congress will pass very little new legis lation except some sops to labor and the veterans. 49. Congress will still be dom inated by a conservative coali tion of Northern Republicans and Southern Democrats, This North South coalition will still be afile to curb onslaughts by New Dealers. 50. Democrats, as well as Re publicans. in Congress are mak ing every effort to avoid antag onizing farmers. Again, in 1952 —as in 1948—the farmers will hold the balance of power in the Presidential and many Congres sional elections. 'Midwest states can make or break the Presiden tial candidates. The labor vote is overrated. Jones Funeral Conducted Here William S. Jones Died On Thursday At Home Near Southport Following Per iod Of Failing Health William S. Jones, prominent farmer of the Bethel community, died Thursday afternoon at his home. He was 78 years old and had been in failing health for a number of years. He is syrvived by his widow, one son, Eugene Jones of the home; five daughters, Mrs. Harry Turner of Camden, N. J., Mrs. Maggie Lucas of Aberdeen, Mrs. Nora McDowell, Mrs. Susie Bur ris and Mrs. Sophia Rogers of Southport. Twelve grandchildren and one grat grandshild also sur vive. Funeral services were held on Friday afternoon from the Bethel Baptist Church where he held membership for many years. Rev. B. H. Price officiated. Burial Was in the Northwood cemetery at Southport. Serving as pallbearers were Isaac Willets, Floyd Krby, Jack Drew, Weston Willets, Alex Bo rgie and F. D. Frice. Prospects Good For Camellias Weather Thus Far Has Not Been Too Unfavorable For Winter Blooming Varie ties The 1952 prospect for spring flowers is said to be wonderful, especially as compared to the Conditions > at the beginning of >851. At that time,, due to-, the -udden and severe cold spells ini late November and early De cember. there were almost no camellia buds left alive on the bushes. About the only camellias to bloom in 1951 were the very late varieties that had not budded vhen the cold came. They made a fairly good display, but only for a short period. They could hardly be classed as perfect. Orton Gardens have over 350 varieties, which allow for con tinuous blooming of some vari ety all throught the fall, winter and spring. From November 1950 through much of February 1951, there was practically no bloom. Nothing but dead buds on the bushes that bloom during that period of the year. In recent months only a few buds have been killed. The bush es are well loaded and the flow ers are opening at their regular time. A considerable number of bushes here and at Orton are now blooming. Bill Hyatt, hor ticulturist at Orton, stated this week that the outlook is excel lent for a fine showing of ca mellias, azaleas and other flow ers next spring. Many of the Camellias are blooming now. Clarendon Child Taken By Death TABOR CITY, Jan. 7. — Jer ry J. Worley, five-year-old son of Mr. and Mrs. J. A. Worley of Route 1, Clarendon, died unexpec tedly Sunday morning at 6 o’clock. Funeral Services were conduct ed Monday afternoon at 3 o’clock from Mount Sinai Baptist Church by Rev. Zeddie Ward ahd burial followed in the church cemetery. Surviving besides the parents are two brothers, Perry Roy and John Allen, and the maternal grandparents, Mr. and Mrs. John C. Cartrette. J. S. LOUGHLIN SOlTTHPOftT, N. C. ■•Ml Immllk Inman Cn FARM BUREAU Ikrtnl Fin Inaraiica'C*. Ufa Irnnwa C*. BEST EVIDENCE to support hte deductions on your 1951 income tax is a cancelled check. i For your own protection pay by check and check on the Waccamaw Bank. It’s good business. 1 , .jj WACCAMAW BANK AND TRUST COMPANY SOUTHPORT ' SHAIXOirtE Prince O' Brie n. Cashier ~J.*Ef*&ookej Cashier Buy on these Plain Hard Facts See for yourself how a Chevrolet truck can cut your costs in every way fContinuation of standard equipment and trim illustrated is dependent on availability of material.) FACT No. 1— Costs Less to Buy FACT NO. 2—Saves Money on the Job FACT NO. 3-RightTruck for Every Load FACT NO. 4—Keeps Its Value Longer CHEVROLET MORE CHEVROLET TRUCKS IN USE THAN ANY OTHER MAKE I America’s truck users buy on down-to-earth facts, not fancy phrases. That’s why more of them buy Chevrolet trucks than any other make . . . nearly as many as the next two makes combined! What they get for their money is a rugged, sturdy, de pendable truck that’s factory-matched to their jobs and pay loads—right power, right capacity, right price-with savings in purchase over other trucks of comparable specifications, and a record of savings on the job that can’t be topped. •Come in and let’s get down to cases on how a Chevrolet truck can cut your hauling or delivery costs. You can’t make a better buy—to save your moneyl ELMORE MOTOR COMPANY BOLIVIA N. C.
State Port Pilot (Southport, N.C.)
Standardized title groups preceding, succeeding, and alternate titles together.
Jan. 9, 1952, edition 1
2
Click "Submit" to request a review of this page. NCDHC staff will check .
0 / 75