Show INDUSTRY SEES HOPEFUL SIGNS BANKERS TOLD Leading Automobile Unit Expects Expects Ex Ex- Ex to Employ More Men This Winter Than Last MOTOR 1 SUPPLY IN HANDS OF PUBLIC FALLING OFF Twelve Million Y Years cau Lest Less Trans Trani- in Nations Nation's Car Inventory Inventory In In- Than Considered Normal Manufacturer Tells Financiers Financier E ESTIMATING that transportation In the form of automobiles now In the hands of ot tho American AmerIca public pub lie lic Is twelve million car years belo be be- lo 10 normal and that this deficit will eventually have havo to be made I up Richard H. H Grant vice president dent of the General Motors Corporation Corporation Corpo Corpo- ration recently told the tho American I Bankers Dankers Association convention that employment In his company I may be greater this winter than last year 1 Employment during tho winter months Is a very important thing Mr Grant said So far as cur ur cor cor- Is concerned In November November Novem Novem- ber her December January and February February Feb Feb- wo we will be employing at least as many and probably more men ren I than did this we wo past year ear I In order to the tho outlook ok for tor next years year's market his corporation ho said attempts to set up sales Indices based on intensive scientific selen studios In addition to observation observation tion and common sense We are in the habit of ot looking upon an automobile not merely as all asan asan an nn automobile b but t as transportation tion he said We figure each automobile produced as six years yean of ot transportation Then by followIng following follow tollow ing up records of production yearly we get a graph which Indicates what ought to be a normal Inventor Inventor tor tar of ot transportation in the hands of at the American people and whether er or there are more or less miles mlle than might be expected According to our figures there are about twelve million mimon years years less transportation transportation transportation tation in this inventory at the present pros pres ent ant time than has hns been considered normal since 1925 The Outlook for Business Consequently if It we retain the same purchasing power in this country It is quite evident that on OD the first upturn of ot business there will be a rush to replace that In In- In developing this graph It has hns come out very strongly that every third year Is a big automobile automobile automo automo- bile year The biggest automobile year was 1929 when cars cara were produced for American con con- This year the Industry will wm prod produce ce somewhere betwee and cars As AI 1932 Is three years after 1929 If U economic conditions were normal we could be sure we would do a tremendous business because th the third year is the time when th the th bulk of the replacing takes place He added that there are factors at work that make It ft t uncertain how big the year will be Instancing that money Is being hoarded from lack of ot confidence and this takes away some purchasing power that w we would otherwise Lave ave ave while family budgets are being cut on account of Jf f changes in income conditions which again means that purchasing power for the automobile like a good many other things will b be knocked down As a result h he be heBald said Bald it was necessary to measure what statistically would be a bl bit big year against a practical consideration tion of of the curtailment of expenditures expendi tures which Is going on and determine determine determine deter deter- mine how big the year ear will be under un der these circumstances From a long haul standpoint regardless re ye of how many automobiles are sold in 1932 we are storing up upa a big business for the future Mr Ur Grant said There will be fewer automobiles sold soM In 1931 than will I Igo go to the scrap heap With a 12 IZ- years car-years out of ot the Inventory hives tory nine percent more moro gasoline was used up to August 1 I 1931 than was used In 1930 With fewer tower au the people must haTe have been boon running them faster taster and longer to c consume the additional gasoline This means that we hare haTe some Iome people working hard to make a fine business for our Industry when there Is an economic economic eco recovery No F False Optimism I am not attempting to create any ny false falsa optimism I I am not speaking without a Ii statistical background Using the best sense sensa we can we have drawn conclusions from the figures we have and I am willing willingto to make the statement that as far tar faras faras taras as the conduct of ot our business for forthe forthe forthe the first halt half of 1932 Is concerned we shall set Bet the Indices somewhat higher than the actualities of 1931 Wo We are willing to set our advertisIng advertis advertis- Ing budgets and our selling expense on that kind of ot Indices With o oco- oco o o. nomie conditions as they arc are and since the obsolescence is so great and we have sunk so low In this thin years year's sales we figure that the first half of 1932 must t necessarily be better bitter than was tho first half of wi 1111 |