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Show INSIDE STUFF TSr ' output Indicates that ths mills ss a whole will turn out about as much this month as they did in the record month of December. When water flooded the Pittsburgh Pitts-burgh and Wheeling areas, all mills were operating at top speed on backlogs and January orders, exceeding thoss of last year. They were hitting about 80 per cent capacity. ca-pacity. The flood dropped them to about 7 per cent for the past week. They expect to make it up shortly. Floods likewise hsvs made about a five per cent dent In weekly freight traffic, but this may be offset by rebuilding activities ac-tivities when the water subsides. Bo will activities in moot other affected lines. The main economic effect of floods Is ths destruction of wealth. Buildings and factories are being ruined. But aa far as the national na-tional business activity and national na-tional Income are concerned, the flood Influence may not be as far-reaching as It seems. Consensus Substantially the sams thing Is trus of strikes, if they are not general and not prolonged, and there is virtually unanimous opinion opin-ion on the Inside here that the restricted re-stricted auto strike will not be prolonged. Three well Informed government govern-ment economists were guessing about it the other day. They agreed in the opinion it would not last six months or a yesr. One guessed a settlement would 1 come "within a month," another "six months and the third "two months." They Just differed in estimating how long the managers and labor leaders would daily around in negotiations. Note They also were unanimous unani-mous on who would win. Chart Ths present position of business progress Is disclosed In the following fol-lowing figures, based on 1923-'2S averages as 100, and adjusted .for seasonal variations. (The single exception Is prices, based on 1926 as 100). Each figure represents the percentage of business normally nor-mally existing st the times stated. Price-Droppy More Important than the strike and floods in the national business picture at the moment is the change in price trend noted in the third week of January. For 12 consecutive weeks before that, prices bad been rising. Sensitive Sen-sitive price charts for the period are almost perpendicular. The more heavily weighted government govern-ment chart rose from 81.3 at the first of December to a peak of 66.7 the second week In January. The third week showed a small drop to 85.3. Tbe rapidity of the rise wss almost sensational and could not be maintained forever. Mo one will guess the trend of the immediate imme-diate future, but apparently a period pe-riod of settlement and solidification solidifica-tion Is generally expected. Copyright, 1937, for The Telegram. WASHINGTON Strikes and floods havs disrupted the nation's business progress. Tbe figures in the month's business chart show that But they also show the effect ef-fect le probably exaggerated in the public mind. Take the auto strike. No official offi-cial figures on the effectlvenese of the etrlke are being published. There are none. But there are two excellent private estimates which are dependable. You may accept them as semiofficial. These fix tbe csr output of ths big three In the prestrike week of December 19 and the etrike week of January 23 as follows: Preitrlke Strike General Motors .... 68.000 9.780 Ford" 27.000 29.000 Chrysler 27,000 22,800 Totals 107,000 81,280 Deficiency It shows John L. Lewis has tied up General Motors rather effectively. effec-tively. But more Interesting is ths point that Ford and Chrysler have not picked up the business " General Motors lost. Ford gained only 2000 ears, while Chrysler actually ac-tually lost businsss when ths glass strike began to affect him. What has happened Is the creation crea-tion of a deficiency of about 49.000 cars in weekly auto production. The market is not being filled. If the strike Is settled within a reasonable rea-sonable time, it is quite possible that accelerated production later will fill the deficiency and very little change In total output may be noticeable on the year as a whole. At least It Is an economic fact that very few people who want new cars this year will fall to buy them later this year If they csn get them. The only net loss in perchaslng power seems to be among the strikers themselves. Year Indus- Fac- Pay- Frt Dept Bldg. Wholesale trial tory Rolls Load- Store Con- Prices Pro- Employ- Inge Sales tracts (1928 ductlon ment equals 100) 1929 aver. 119 105. 109. 108 111 117 95.3 1932 aver. 84 88. 47. 58 69 28 64.8 1935 aver. 90 88. 71. 63 79 37 80.0 1938 Jan. T 89. 74. 70 81 61 80.8 Sept 109 94. 83. 72 88 59 81.8 Oct 109 94. 89. 73 90 58 81.5 Nov. 114 . 90.8 80 93 58 82 4 Dec. 121 8.2 US 88 92 61 84 2 X1937 Jan. 114 98. 92. 81 89 69 S8.J x Estimated. Even they may be able to buy their new cars later, by working overtime In accelerated production produc-tion to meet the deficiency after the strlks Is over. Flood Effects Tsks the floods. Tbe best advance ad-vance Indication of January steel |