OCR Text |
Show Economist Predicts Better Times in '40 Somewhat better farm income for 1940 seems probable to United States Deparment of Agriculture economists and to outlook specialists specia-lists from 46 states, states Dr. O. J. Wheatley, who recently returned return-ed from the annual outlook conference con-ference held in Washington. Although Al-though no one was willing to forecast fore-cast the exact effect of the war upon the United States, the majority ma-jority felt that war uncertainties would not greatly alter the rather rath-er favorable situation. In spite of the fact that few of the specialists attending the conference con-ference felt that the rate of increase in-crease shown in the last few months could be maintained throughout 1940, general business activity was expected to show improvement. However, because of the accumulation of heavy inventories, in-ventories, a business decline within with-in the next few months like that which occurred in 1937 following similar inventory accumulations is expected. With increased industrial activity activ-ity and better consumer incomes, farmers are expected to receive higher prices for most of their products, prices as high as prevailed pre-vailed in the latter years qf the last war were definitely not expected, ex-pected, however; because of the fact that inventories of basic agricultural ag-ricultural products, both in the United States and the world market are substantially higher than they were in 1914, prices boosted by lack of supply much above current levels do not seem likely. Increased consumer incomes due to improved domestic business bus-iness will likely be reflected first ;n an increased demand for meats vegetables, and fruits according to Dr. Wheatley. The war may shut off customary supply exports ex-ports of some fresh fruits to Europe, thus throwing a larger than customary supply on local markets, but, because of the improvement in consumer incomes, in-comes, the larger than customary home supplies of fresh and canned can-ned vegetables in prospect for 1940 are expected to bring better than average prices. It is estimated that better prices on increased quantities of farm products marketed will bring total to-tal farm cash incomes for 194U somewhat above $8,300,000,000. |