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;v MICS EW fonsumer and Food Economics Research Division Agricultural Research Servic·c• UNITED STATES DEPARTMENT OF AGRICULTURE Ktllim~•I~'IR PROPERTY OF THE CONTENTS LIBRARY OCT 16 1967 UNIVERSITY OF NOR-I H CAROLINA AT GREENSBORO Page CHANGING FOOD CONSUMPTION IN THE UNITED STATES---~ _ j_lj 3 HOMEFREEZER MANAGEMENT SURVEY: Advantages and Dis-advantages of Freezer Ownership; Defrosting Practices; Costs 6 USDA TEXTILES AND CLOTHING LABORATORY MOVES TO TENNESSEE ----------------------------------------- 10 TRENDS IN PRICES OF FOOD AT HOME AND AWAY FROM HOME 10 TRENDS IN CONSUMER INSTALLMENT CREDIT --------------- 12 SURVEY OF THE MARKET FOR FOOD AWAY FROM HOME------ 15 MOBILITY IN THE UNITED STATES-------------------------- 16 WIVES IN THE LABOR FORCE ------------------------------ 20 SOME NEW USDA PUBLICATIONS--------------------------- 21 CONSUMER PRICES----------------------------------------- 23 COST OF FOOD AT HOME ---------- ----------------------- 24 ARS 62-5 September 1967 FAMILY ECONOMICS REVIEW is a quarterly report on research of the Consumer and Food Economics Research Division and on information from other sources relating to economic aspects of family living. It is developed by Dr. Emma G. Holmes, research family economist, with the cooperation of other staff members of the Division. It is prepared primarily for home economics agents and home economics specialists of the Cooperative Extension Service. CHANGING FOOD CONSUMPTION IN THE UNITED STATEs.!/ Changes in the food consumption of U. S. families can be traced by comparing data from nationwide surveys made by the U.S. Department of Agriculture. The most recent of these was made in 1965 and the previous one in 1955. Others were made in 1948, 1942, and 1936. This article reports changes between 1955 and 1965 in food used at home during a week in spring, based on data from the surveys made in those years. What Changes in Food Consumption? Meat group.--Both the quantityused and the money value of the meat group (meat, poultry, fish; eggs; dry beans and peas, nuts) increased between 1955 and 1965 (fig. 1). Quantity increased 8 percent and value 17 percent. The larger increase in money value was due largely to the increase in the average price of foods .in the meat group, which went from 53 to 57 cents per pound. Increases in the meat group have been chiefly in beef and poultry. Changes in meat consumption show that the influence of price on consumption is unpredictable in a period of increasing affluence. Beef, with a price rise of about 20 percent, increased 30 percent in amount used. Poultry, with a price drop of 27 percent, increased 19 percent in amount used. Eggs declined about 11 percent in price per pound and 2 percent . in quantity used. Pork rose 6 percent in price and fell 4 percent in use. The money value of fish stayed the same but its use decreased 8 percent. Two foods not shown on the chart increased in quantity used-peanut butter nearly 60 percent and lunch meats 17 percent. Milk group. --The quantity used of foods in the milk group (milk, cheese, ice cream) was down 8 percent and the money value was down 4 percent in 1965 (fig. 2). Much of the decrease in quantity reflects the use of less fresh fluid milk and cream. Consumption shifted away from these products to more frozen milk desserts, cheese, and processed milk. The quantity of evaporated milk used in 1965 was about two-thirds that of 1955, and the quantity of nonfat dry milk was more than double that of the earlier year. Vegetables and fruit group. --Consumption of the vegetable-fruit group fell 9 percent, but money value rose 14 percent. This group includes fresh, canned, frozen, and dried fruits and vegetables--except dry beans and peas. The cost per pound of the assortment of vegetables and fruits families used increased nearly 30 percent. Cost per pound rose from an average of 14 cents to 18 cents because of the general price rise and the shift from fresh to the more costly canned and frozen forms. The canned forms cost about one-fourth more a pound than fresh in both periods. The frozen forms cost about three times as much as the fresh in 1955 and twice as much in 1965. 1/ Condensed from a paper presented by Sadye F. Adelson at the 58th Annual Meeting of the American Home Economics Association, Dallas, Tex. June 27, 1967. SEPTEMBER 1967 3 Consumption of frozen vegetables and fruits increased an average of about 0.1 pound per person a week, rising from 0. 3 to 0. 4 pound between 1955 and 1965. Fresh vegetables and fruits decreased about 1 pound, dropping from 7.4 to 6.3 pounds per person. This decrease was in potatoes and sweet potatoes (down to 0. 3 pound), in "other " vegetables (down 0. 4 pound), and in fruit (down 0. 4 pound). The only increase in fresh produce used was in fruit juices (up 0.1 pound). Bread-cereal group.--Families were using 10 percent less of foods in the breadcereal group (flour equivalent) in 1965 than 1955 (fig. 3). However, money value was up 30 percent, due primarily to a shift to bakery products other than bread and to ready-toeat breakfast cereals. Use of breakfast cereals increased about one-fourth and bakery products other than bread two-thirds, whereas use of flour decreased about one-third. How Does Food Use Differ Among Population Groups ? Regional differences. --Families in the South had about 1 pint less milk and 0. 7 pound less vegetables and fruit per person per week than those in the North (fig. 4). But they had 1. 2 pounds more bread and cereals and about the same amounts of foods in the meat group. Urbanization differences.--Urban and farm households averaged about the same amount of each food group except the bread-cereal one (fig. 5). Farm families used 3. 3 pounds per person of the bread-cereal group, and urban families 2. 3 pounds. Income differences.--Families with incomes under $3,000 averaged nearly 3 cups less milk, 0. 5 pound less meat, and 1.7 pounds less vegetables and fruit per person a week than families with $7,000 to $10,000 (fig. 6). However, the low-income group had 0.8 pound more bread and cereals. Thus, the lowest users of the milk, meat, and vegetable- fruit groups were the families in the South and those with low incomes. The lowest users of the bread-cereal group were families in the North, in the cities, and with high incomes. Has the Family's Food Pattern Changed? Family food patterns have changed some, but no major shifts have occurred. Meat is the only food group that increased in use, rising from 5.2 to 5.6 pounds per person per week. Milk decreased from 4. 5 to 4. 1 quarts (in calcium equivalent of fluid whole milk) per person. Vegetables and fruit were down 0. 9 pound, dropping from 9. 6 to 8. 7 pounds per person. Foods in the bread-cereal group declined from 2. 8 to 2. 5 pounds. Use of fats and oils and sugars and sweets decreased--the former from 0. 9 to 0. 8 pound per person per week, the latter from 1. 2 to 1.1 pounds. Use of beverages other than coffee increased considerably--soft drinks from 0.9 to 1.5 pounds per person and fruit ades, fruit drinks, punches, and nectars from 0. 04 to 0. 34 pound. 4 FAMILY ECONOMICS REVIEW TOTAL GROUP BEEF POULTRY PORK FISH & SHELLFISH EGGS MEAT GROUP Use and money value up in 1965 %CHANGE, 1955 TO 1965 • QUANTITY 0 MONEY VALUE Household Food ConsumptiOn Sur ... eys, Sprma 1965 and 1955 All HousehOlds "' US U.S. Ofi'Ati:TIIIENT Of AGIIICUlTUJIE NEG. NO. 67161 Sll6 ACJI ICUlfUJIAl JI[S(AJICtt SERVICE -30 TOTAL GROUP FRESH FLUID MILK PROCESSED MILK CREAM FROZEN MILK DESSERTS CHEESE Figure 1 MILK GROUP Use and money value down in 1965 -20 %CHANGE, 1955 TO 1965 ·10 0 +10 +20 +30 .QUANTITY 0 MONEY VALUE +40 Househokf Food ConsumptiOn Surwys, Spr•na 1965 and 1955 U.S. Oli'AIIITMEMT D' AGJtiCUlllHt[ JIIEG. NO 6116) 5al7 AU HousehOlds '" U S AGJIICUlTUJIAL R£S[ARCI1 S(ltYICt TOTAL GROUP BREAD OTHER BAKERY PRODUCfS BREAKFAST CEREAL OTHER CEREAL, PASTES FLOUR, MIX Figure 2 BREAD CEREAL GROUP Use clown, money value up in 1965 +70 +80 +90 .QUANTITY 0 MONEY VALUE Hout.nokl food ConsumpltOn Surveys, 59f1111 1965 and 1955 All HouMhOids 1n U 5 MEG.- NO. 67(6) !1139 -"JIICUlTUJIM. ltUtARCH Sflt'IIC[ Figure 3 SEPTEMBER 1967 REGION AND FOOD USE In South, leu milk, vegetables and hvit bvt more b,eod and cereals than in North MILK GROUP MEAT GROUP VEGETABLE FRUIT GROUP 1--------------' BREAD CEREAL GROUP 1--------' POUNDS PER PERSON PER WEEK HousehOld Food Consumption Sur .. ys, Spr.na1965 and 1965 An Househ olos '"uS US.. Of.I',UTIII[NT Of AGitiCUlTUit[ N[C foK) 67(6) ~l• AC>f!ICUlTUitAllt(S[AitCI't S£11YIC( Figure 4 URBANIZATION AND FOOD USE On farms, more bread and cereals than in cities MILK GROUP MEAT GROUP VEGET"BLE FRUIT GROUP 1------------~=:=:=::J BREAD CEREAL GROUP._ __ ___~ POUNDS PER PERSON PER WEEK Housenold food Consumption Surveys, Spr~na 1965 •nd 1955 All H ttu \ e"~ Ooa\ .n us US 0[PAIITM[NT Of ACitiCUlTUit[ M(C P+0 6716) Sill .. GitiCUlTUII .. llllShltC" Sllt\IIC( Figure 5 INCOME AND FOOD USE At low incomes, more bread and cereals, len of other foods MILK GROUP MEAT GROUP VEGETABLE FRUIT GROUP 1----=====:=:=:=:=::.___J 3 8 10 POUND! PER PERSON PEl WEE« Household Food ConsumptiOn Surveys, Spr~na 1965 1nd 1955 All Householas onus U.S. 0£1'AitTtii£NT Of AGIIICUl TUit[ NEC.. NO 67161 SllS ACitiCUlTUIIAl It($ (ARCH S[lt'tiC[ Figure 6 5 In terms of servings, the average amounts of food used per person per week were less in 1965 than 1955 by the equivalent of 1.6 cups of milk, 4 servings of vegetables and fruit, 5 to 6 slices of bread, 4 tablespoons of oil, and 8 tablespoons of sugar. But the meat group increased by the equivalent of one fairly goo~-sized serving. Soft drinks increased about 1. 5 cups and fruit drinks about 0. 5 cup. Why the Changes in Food Consumption? The increase in use of poultry between 1955 and 1965 was probably due to the decrease in price of a popular food. Beef use increased despite higher prices, indicating the effect of higher incomes and differences in food preferences. The rise in use of frozen desserts reflects in part the introduction of many new low-priced and low-caloried products. Some people apparently followed the advice to cut calories and be selective in the types of fats used. Less food was consumed, on the average, in 1965 and shifts from butter and shortening to margarine and oils, and from whole milk and cream to skim milk were evident. Time- and work-saving foods increased in use, perhaps due in part to the increase in number of working wives and mothers. Bakery products replaced a large share of the flour; ready-to-eat cereals took the place of cereals needing to be cooked; and frozen vegetables replaced some of the fresh ones. Squeezed citrus fruit as frozen and chilled juices--as well as ades-gained in use. More youths in the population and more snacking by people in general probably contributed to the increased use of ades, punches, soft drinks, potato chips, luncheon meat, peanut butter, crackers, cookies, doughnuts, frozen desserts, and candy. HOMEFREEZER MANAGEMENT SURVEY: Advantages and Disadvantages of Freezer Ownership; Defrosting Practices; Costs This is the last of four articles reporting highlights from a survey conducted by the Consumer and Food Economics Research Division in the Fort Wayne, Ind. area in 1964-65. The information was furnished by 242 farm and 240 urban homefreezer owners. Advantages and Disadvantages of Freezer Ownership Advantages. --Substantial numbers (one-fifth or more of the total) of both farm and urban homemakers mentioned these advantages of freezer ownership: Being able to freeze local or home-grown fruits and vegetables in season; saving time in shopping, or not having to shop as often; having food on hand; and saving money on food (table 1). Farm homemakers also often mentioned as advantages: Being able to freeze their own meat; 6 FAMILY ECONOMICS REVIEW T~ble 1.--Households reporting specified advantages of owning a homefreezer !/ Advantage Freeze local, home-grown, in-season fruits and vegetables ---------------------------------- Freeze own meat ------------------------------Buy food in quantity -------------------------Buy side, quarter of meat --------------------Freeze game, fish ----------------------------Save time in shopping, don't shop as often ---- Have meat on hand ----------------------------Have food other than meat on hand ------------Can cook, bake ahead -------------------------Easier than canning --------------------------Save money on meat ---------------------------Save money on food other than meat -----------Better quality meat, meat tastes better ------Better quality fruits, vegetables, taste better Better quality food, unspecified food --------Greater variety of foods, better meals -------Freeze leftovers, no spoilage or waste -------- Farm households Percent 47 28 10 7 ('ij) 30 6 26 5 15 8 24 4 2 8 10 9 Urban households Percent 29 3 15 13 1 32 13 21 12 5 22 23 5 ('ij) 3 5 10 ~ Responses from 242 farm and 239 urban homemakers. The average number of advantages mentioned was 2.4 for farm and 2.1 for urban households. y Less than 0. 5 percent. that freezing is easier than canning; and having greater variety of foods and therefore better meals. City homemakers often mentioned the advantage of saving money on meat; of buying a side or quarter of a carcass; and of having meat on hand. Disadvantages. --About 80 percent of the farm and 85 percent of the urban homemakers reported no disadvantages in owning a freezer (table 2). Those who gave any disadvantages most often mentioned the nuisance of defrosting, and that foods are frozen solid when needed. A few mentioned power failure--actual or the possibility of it. During the 2 years before the interview, power failure resulting in the thawing of food in the freezer had occurred once in three farm and five urban households; twice in one urban household; and three times in one farm home. Defrosting Practices Most of the homemakers (82 percentof the farm and 74 percent of the urban) said they defrosted their freezers once or twice a year (table 3). About 11 percent of the SEPTEMBER 1967 7 Table 2.--Households reporting specified disadvantages of owning a homefreezer !/ Farm Urban Disadvantage households households No disadvantages ----------------------------Nuisance of defrosting ----------------------Food frozen solid when needed ---------------Possibility of power failure, actual power failure ------------------------------------ Not using it fully, not keeping it full ------ OVerbuying ----------------------------------- Eating too much of the same food, same meat -- eantt get to bottom in chest type, things fall out of upright ----------------------------- Expensive ------------------------------------ Percent 79 7 5 3 1 0 1 3 2 Percent 85 6 3 2 2 1 1 0 0 !J Responses from 240 homemakers. The average number of disadvantages mentioned was 0.2 per household. Table 3.--Houeeholde reporting specified defrosting practices for homefreezere Defrosting practice Frequency: Farm households 1/ Percent Once a year -------------------------- 47 Twice a year ------------------------- 35 More than twice a year --------------- 4 Once in 2 years ---------------------- 1 Once in 3 years ---------------------- 1 Twice in 3 years --------------------- 1 Freezer is self-defrostingJ have never defrostedJ scraped ----------------- 11 Time required: Less than 1/2 hour ------------------- 8 1/2 to less than 1 hour -------------- 22 1 hour to less than 2 hours ---------- 24 2 hours to lese than 3 hours --------- 22 3 hours or more ---------------------- 24 1/ 242 reported frequency, 211 time required. g{ 240 reported frequency, 206 time required. Urban households Percent 41 33 8 1 2 1 14 4 11 29 25 31 gj 8 FAMILY ECONOMICS REVIEW farm and 14 percent of the urban homemakers said they had self-defrosting freezers, or had never defrosted, or had scraped the frost off. The time required to defrost the freezer varied from less than one-half hour to 3 or more hours. The median was between 1 and 2 hours for farm households and between 2 and 3 hours for urban households. Frozen foods were protected during defrosting in such ways as putting them in a covered container; wrapping them in blankets, rugs, or newspapers; ·putting them in a refrigerator; and putting them outdoors in winter. Costs Although only 2 percent of the farm and none of the urban homemakers mentioned cost as a disadvantage of homefreezers, a family thinking of buying a freezer will want to take cost into consideration. Estimated costs of operating the homefreezer for the monthin which the families kept records of food input are shown in table 4. In these estimates the electrical energy requirements for freezing food and maintaining 0° F. for storage are based on data from Home and Garden Bulletin No. 48, Home Freezers--Their Selection and Use. The electrical rate is based on information from two utility companies in the Fort Wayne area. One quoted the average residential rate for 1964 as 1. 91 cents per kilowatt-hour, the other 1. 99 cents. The midpoint--1. 95 cents--was used in the calculations. Table 4.--Homefreezing costs for 1 month (excluding cost of food) Item Freezer: Net depreciation (15 years expected life) Repairs (2 percent of purchase price per year) --------------------------------- Electricity for-- Freezing food (0.1 kw.-hr. per lb. at 1.95 cents per kw.-hr.) --------------Maintaining oo F.-- 0.20 kw.-hr. per cu. ft. per 24 hr. at 1.95 cents per kw.-hr. ----------- 0.22 kw.-hr. per cu. ft. per 24 hr. at 1.95 cents per kw.-hr. ----------Packaging (2.5 cents per lb. frozen) ------ Total ------------------------------------- SEPTEMBER 1967 Farm households Dollars 1.67 .50 .07 2.11 Urban households Dollars 1.67 .50 .o6 1.93 -71 4.87 9 For farm households, the median freezer size was 18.0 cubic feet, and the median purchase price $300. Total monthly input of food averaged 46 pounds, 80 percent of which was frozen in the homefreezer. For city households, the median freezer size was 15.0 cubic feet and the median purchase price $300. Total monthly input of food averaged 43 pounds, 66 percent of which was frozen in the homefreezer. The cost of home freezing for the month input records were kept, not including the cost of the food, averaged slightly more than $5 for farm and slightly less than $5 for urban households. The cost per pound of food would depend on how much food was in the freezer and the rate of turnover. USDA TEXTILES AND CLOTHING LABORATORY MOVES TO TENNESSEE The U. S. Department of Agriculture will soon relocate its Textiles and Clothing Research Laboratory at the University of Tennessee, Knoxville. The laboratory is part of the Consumer and Food Economics Research Division of the Agricultural Research Service. It was formerly in the Clothing and Housing Division. The main reason for moving the laboratory from the Agricultural Research Center in Maryland is to place it near ~. a strong university program of home economics research, teaching, and extension in a State where textiles are economically important. The University of Tennessee meets these criteria. It also has textile-oriented units in agriculture, physics, and engineering. Under terms of the agreement between the USDA and the University of Tennessee, university researchers will work with ARS staff to conduct studies that will ( 1) find out consumer needs for textiles and clothing and how well products available meet these needs; ( 2) develop basic principles to guide consumers in selecting and caring for textiles and clothing; and ( 3) solve other problems in textiles and clothing that ARS and university scientists agree are economically or technically important. Research will get underway at the new location when the building being renovated for the laboratory is ready and a staff has been assembled. TRENDS IN PRICES OF FOOD AT HOME AND AWAY FROM HOME Food prices have risen along with consumer prices in general. The index of prices for food as a whole increased from 99. 7 in March 1959 to 114. 2 in March 1967- a gain of 15 percent during the 8 years (see figure). (The Bureau of Labor Statistics' Consumer Price Index uses average prices for the years 1957, 1958, and 1959 as a base; i.e. , 1957-59 = 100.) Gains during the 8 years for the two components of the food index -food bought to be prepared at home, and food bought and eaten away from home-- 10 FAMILY ECONOMICS REVIEW PRICES OF FOOD AT HOME AND AWAY % OF 1957-59 120 1965 1967 ILS DATA .. CITY WAGE £A.HE•s AHD CLEitiCAL WORK fitS. U. S. DEPARTMENT OF AGAICUL TURf NEG. ARS 67 (1)-5161 AGRICULTURAL RESEARCH SERVICE differed widely. The index of prices for food at home rose 12 percent (from 99. 4 to 111. 5), while the index for food away from home increased 26 percent (from 101.5 to 127. 7). The main reason for the steeper rise in prices for food away from home was the increased cost of labor involved in preparing and serving food in restaurants, hotels, cafeterias, and other commercial eating places. Compared with the general price index, the index for food used at home has been consistently lower since 1959--except in March 1966--and the index for food away from home has been consistently higher. Prices for food as a whole were also lower than the general price index until June 1965, when the two met. The food indexwas above the aUitems index each quarter in 1966, then feU below in March 1967. A change in the prices of food away from home affects the over aU food price index less than a change in the price of food to be used at home. In 1960-61, urban families spent an average of $1,311 for food, of which $1,036 was for food at home and $275 was for food away from home . .!/ Thus, food at home accounted for about four-fifths and food away from home for one-fifth of the total food expenditure. Prices of food at home are given about four times as much weight as those for food away in calculating the food price index. --Emma G. Holmes .!/ Bureau of Labor statistics, Survey of Consumer Expenditures, 1960-61, Consumer Expenditures and Income, Urban United States, 1960-61. Rpt. No. 237-38, table 1A. SEPTEMBER 1967 11 TRENDS IN CONSUMER INSTALLMENT CREDIT,!/ Credit in 1966 Consumer debt continued its long-time upward trend in 1966, but at a considerably lower rate than in 1965. Total consumer installment debt outstanding rose $6. 1 billion--or 9 percent--in 1966, compared with $8 billion--or 13 percent--the previous year. Growth in automobile debt, personal loans, and repair and modernization loans slackened. The only substantial increase was in debt for "other consumer goods," probably reflecting the spreading use of revolving credit. Disposable personal income was about 8 percent higher in 1966 than in 1965. Automoblle credit. -Automobile debt increased an average of $175 million a month in 1966, compared with $300 million a month in 1965. Sales of both new and used cars were down in 1966. However, the average amount of the installment credit contract for car purchase rose, as did the proportion of cars bought on credit. The proportion of new cars bought on credit increased about 3 percentage points in 1966. Nearly 4 out of every 5 new car sales in June and July involved credit financing. This was considerablyhigherthan in the same 2months of other recentyears. Consumers paid more for new cars, also, buying larger cars with more optional equipment. About 60 percent of the new cars bought in the first quarter of 1966, compared with 52 percent in the first quarter of 1965, cost more than $2,500. The average note on new cars rose about $80, on used cars $50. Maturities on car loans lengthened between 1960 and 1966, largely because of the shift to 36-month loans (see table). Most auto loan maturities are for such standard lengths of time as 12, 18, 24, 30, and 36 months. For example, about 98 percent of the new-car contracts maturing in 31 to 36 months are 36-month contracts. Other installment credit. -- The amount of installment credit extended to consumers for buying "other consumer goods" (that is, other than cars) was almost 10 per..;. cent higher in 1966 than 1965. This was due in part to increased use of revolving credit. The demand for air conditioners in the long hot summer of 1966, and for color TV sets, also contributed to the rise. Personal installment loans continued to increase in 1966, but by less than 4 percent-- the smallest advance in 4 years. This was partly because of the increased use of credit cards instead of loans to finance travel and vacations. Home repair and modernization loans were about in line with seasonal expectations during the first 3 quarters of 1966, but dropped in the last quarter to the lowest level since late 1962 . .!/ From articles in the Federal Reserve Bulletins of March 1967 (pp. 341-352), and June 1966 (pp. 769-780), and data from the Federal Reserve Bulletin of June 1967. 12 FAMILY ECONOMICS REVIEW Length of new- and used-car installment maturities January 1960 and November 1966 New-car contracts Used-car contracts Maturity Y Jan. 1960 r Nov . 1966 Jan. 1960 I Nov. 1966 Percent Percent Percent Percent 24 months or less --- 20 15 45 25 to 30 months ----- 9 3 34 31 to 36 months ----- 69 81 ) 37 months or more --- 1 y ) 21 y Balloon contracts (providing for a large final payment), not shown separately, accounted for less than 1 percent of each classi~ication. gj Less than 0.5 percent. Source: Fed. Reserve Bul., Feb. 1967. 26 31 43 Debt repayments. --Repayments on installment debt increased in 1966, but at a lower rate than in recent years. Consumers paid 14.4 percent of their disposable income on these debts. Delinquency rates were about the same as in 1965. The number of personal bankruptcies filed in 1966 was over 13,000 higher than in 1965, and triple the number filed in 1956. Some of this increase is probably due to greater consumer awareness of the availability of bankruptcy procedures, and some to higher consumer indebtedness. The number of personal bankruptcies is small, however, in relation to the millions of installment debtors. Credit in the First Quarter of 1967 During the first quarter of 1967, installment credit outstanding (seasonally adjusted) rose only $760 million, compared with $1. 8 billion in 1966. Credit outstanding on automobile loans increased .$4 million in the first quarter of 1967. Three of the four classes of installment debt increased less in the 1967 than the 1966 quarter, as follows: Type of installment debt Automobile ----------------Other consumer goods ------Personal loans-------------- Increase in debt outstanding First quarter, 1967 First quarter, 1966 $4 mil. $483 mil. $291 mil. $693 mil. $632 mil. $455 mil. Installment debt on home repair and modernization loans decreased by $18 million in the first quarter of 1967, compared with a $4 million gain in the same period of 1966. SEPTEMBER 1967 13 Developments in Consumer Credit Noninstallment credit. --Consumers have turned increasingly to credit cards to pay for gasoline, lodging, and other traveling expenses, and recently for a wide range of goods and services. The total amount owed on credit-card accounts at the end of April 1966 was estimated at $765 million, one-fifth larger than a year earlier and twice as large as at the end of April1960. Though still a comparatively small part of all chargeaccount credit, credit-card credit has increased faster than other types of such plans. Growth factors in consumer credit. --Growth of consumer credit has naturally accompanied the increase in ownership of cars and other durable goods. Spreading use of personal loans to finance travel, education, and similar service expenditures has also been an important factor in credit growth. Consumer attitudes toward the use of credit have changed. Consumers are more ready to commit their future incomes to debt payments now than they were a generation ago. Rising incomes and employment and increasing security of jobs and incomes have encouraged people to assume installment debts. Facilities for lending to consumers have grown tremendously. Lenders have become willing to extend credit to an ever-widening segment of the population. Financial institutions and retailers have promoted consumer credit, and have adopted new and more flexible credit plans to make credit buying easy. New credit plans include various types of revolving credit plans, which provide for "lines of credit" (that is, prearranged limits on the amount of debt the customer may accumulate), and permit the customer to pay the debt in monthly installments. Revolving charge accounts make it possible to extend installment credit for small purchases that would previously have been on a cash or conventional charge-account basis. To a growing extent revolving credit has been substituted for conventional charge accounts and installment credit. Revolving credit plans have spread rapidly at department stores and mail-order houses. At the end of 1965 they accounted for nearly $3 billion of the $5. 3 billion of installment credit outstanding at these outlets. Credit-card banking is an important recent development in methods of extending credit. Many banks are now offering their own credit cards, designed primarily to finance local retail purchases. Some banks have started programs for franchising or interchanging their cards with other banks, so they can be used on a regional or nationwide basis. It is estimated that more than 1, 000 banks initiated credit-card service in 1966. Bank credit-card plans are basically of two types: Charge-account and checkcredit. Under the charge-account plan, customers use their bank credit cards to make purchases at any participating store. The bank does the monthly billing and the stores usually pay a membership fee and take a small discount on sales made under the plan. This plan makes it possible for small-volume merchants to offer credit. Under the checkcredit plan, customers can draw checks up to a prearranged limit and make monthly payments based either on the amount actually owed or on the total credit line. Some plans 14 FAMILY ECONOMICS REVIEW combine both features, permitting the consumer both to obtain cash advances and charge purchases. Repayment procedures are like those in most revolving credit plans. The bank makes a service charge unless the account is settled in full by a specified date. The changing composition of the population has also been a factor in the increased use of installment credit. The number of households with heads under 25 years of age has expanded rapidly, and is likely to continue expanding for the next several years. These young families are frequent users of credit because their need and desire for household goods and cars generally are greater than their ability to pay cash for them. SURVEY OF THE MARKET FOR FOOD AWAY FROM HOME.!/ Away-from-home food service is available in more than 367, 000 establishments in this country, not counting elementary and secondary schools, military installations, correctional institutions, commercial carriers, Federal hospitals, and boarding houses. Of the 367, 000 total, 93 percent are public eating places and 7 percent are such institutions as hospitals, colleges, and homes for the aged. Together they have gross sales of about $22 billion a year in food and nonalcoholic beverages. These estimates are based on data collected in 1966 by the U.S. Department of Agriculture and the food industry from representatives of over 6, 000 food service operations. Men are the main away-from-home eaters. Men alone or in groups were the principal patrons of 49 percent of the public eating places between opening time and 11 a.m., 33 percent between 11 a.m. and 4 p.m., 21 percent between 4 p.m. and 9 p.m., and 22 percent between 9 p. m. and closing time. Family groups were the predominant customers in 17 percent of the eating establishments at the dinner hour ( 4 p.m. to 9 p.m. ) , but in fewer of them at other times of the day. About 100 million consumer transactions took place each day in the 367, 000 food service establishments. This means that a meal, snack, or nonalcoholic beverage was served to a customer 100 million times a day. Even though each of these transactions does not represent a different customer the number of persons served is a substantial proportion of the population. Public eating places served an average of 247 meals, snacks, or beverages daily and institutions 684. If the transactions in food service outlets of the types excluded from the survey were added, the total number for a day would be over 115 million. Nearly 3.3 million persons workedinfoodservice outlets. The averagefor public eating places was 8 workers and for institutions 22. Only one-half of the public eating places had been operated by the same proprietor for 5 or more years. One-fifth of the proprietors had been in business at the same location less than 1 year. This rapid rate of change in food service establishments reflects such problems as rising costs and increasing competition. 1/ From a report with this title by Michael G. Van Dress and William H. Freund. U.S. Department of Agriculture, Economic Research Service. 45 pp. May 1967. SEPTEMBER 1967 15 MOBILITY IN THE UNITED STATES Residential Moves The U.S. population is highly mobile, with about one in five persons moving to a different dwelling each year. Among a typical group of 100 persons, 19 move in a year (_i). .!/ Of these-- 13 move within the same county; 3 move to a different county in the same State; 1 moves to a contiguous State; and 2 move to a noncontiguous State. Regional mobility. --Although moves from one dwelling to another were made by about 1 out of 5 persons each year between 1960 and 1965, net moves from one region to another declined. The annual net migration rate between regions dropped from an average of 489,000 in 1960 to 1964 to 204,000 in 1964 to 1966. However, net migration between regions is expected to rise to an annual average of 210,000 to 272,000 in the 20 years ending 1985 (~). (Net migration is the number who move in minus the number who move out.) Net regional migration has been largely to the West and is expected to continue in that direction. Migration was largely from the North Central and Southern Regions in the 1960's. It is expected to be largely from the North Central Region in the period ending in 1985. Age, sex, and mobility. --The early twenties is the age when young people are taking jobs and getting married, which usually means moving to a different residence. Among 100 young people married between March 1965 and March 1966, 89 moved during the year. Of these 89-- 59 moved within the same county; 14 moved to a different county in the same State; 6 moved to a contiguous State; and 10 moved to a noncontiguous State. The 20-to-24 age group is the most mobile, with an annual mobility rate of 42-that is, 42 out of 100 move during the year (table 1). These young people have the highest rate of within-county moves ( 25 per 100), of moves to other counties in the same state ( 8), and of moves to other States ( 9). Persons 65 years old and over are the least mobile. Only 9 out of 100 of these elderly people move in a year--6 within the same county and 3 to another county. ,!/ Underscored numbers in parentheses refer to sources listed on page 20. Unless otherwise noted, data are from source (_i). 16 FAMILY ECONOMICS REVIEW Table 1.--Percent of the population 1 year old and over who moved to a different residence, March 1965 to March 1966 ~ Personal characteristics, March 1966 Total movers y Within the county To a different count Same Contig- Total State uous State Noncontiguous State Percent Percent Percent Percent Percent Percent Total population ------------------- Age: Under 18 ------------------------- 18 to 34 ------------------------- 20 to 24 ----------------------- 18 to 24: Single ----------------------- Married, spouse present -----First married 1n past year - Other marital status --------- 35 and over ---------------------- 65 and over -------------------- Sex: Male Female --------------------------- Occupation (employed men 14 years and over): Professional workers ------------Other nonagricultural workers ---- Education (men 25 to 34 years): 0 to 8 years --------------------- 1 to 3 years high school --------- 4 years high school -------------College, l year or more ---------- Color: Nonwhite ------------------------White ---------------------------- Employment status (men 14 years and over): Unemployed ----------------------Employed ------------------------- Residence: Nonfarm -------------------------Farm ----------------------------- 19 20 33 42 20 57 89 58 l2 9 20 19 23 19 33 35 29 36 23 19 29 19 20 9 13 13 21 25 11 37 59 34 8 6 13 13 13 14 25 25 19 20 19 l2 17 13 13 6 NOTE: Details may not add to totals because of rounding. 7 7 l2 17 9 21 30 24 4 3 7 6 10 6 8 11 10 16 4 7 l2 6 7 3 3 3 6 8 4 10 14 9 2 1 3 3 5 3 4 6 5 8 2 3 5 3 3 2 1 1 2 3 l 4 6 4 1 1 1 l 2 1 1 2 1 3 1 2 2 4 6 4 7 10 11 1 1 2 2 4 2 3 3 3 5 2 2 2 5 ~ 3 1 !/ Includes members of Armed Forces living off post or with their families on post. gj Includes a few, not listed separately, who were living abroad in March 1965. SOURCE 1 U.S. Bureau of the Census ( !t_) • SEPTEMBER 1967 17 Women 18 and 19 years old--ages when many of them become brides--move more often than men the same age. Women 20 to 24 years old move somewhat more often than men their age. However, in age groups 25 years and over men move more often than women. Education and occupation. --Adults with more education, some college particularly, make more out-of-county moves but fewer within-county moves than those with less education. This is especially true for men 25 to 34 years old. Similarly, men in professional jobs move more often outside the county but make fewer local moves than men in other types of nonagricultural employment. The differences are undoubtedly related to job opportunities for these groups. Labor force status. --Persons who were unemployed in March 1966 had moved much more in the past year than those who were employed. This was true both for moves within and outside the county. Undoubtedly many of the local moves made by the unemployed were to seek lower rents. Their out-of-county moves did not seem to have been made to take known jobs, since they were unemployed at the end of the period. The Bureau of Labor Statistics made a special study of the labor force status of workers in March 1962 and in March 1963, and their residential moves during the 12 months between (~). It found that 11 percent of the men ( 18 to 64 years) who were unemployed in March 1962 moved to another county, compared with 6 percent of those who were employed. About 70 percent of those employed and 50 percent of those unemployed at that time said they moved to look for a job or to take one. Evidently the jobless men who left the county for a different home did better than those who stayed behind, for three-fourths of them--compared with one-half of the nonmigrants--had jobs at the end of the year. White-nonwhite mobility. --Nonwhite persons moved more often within the county but less often to another county than did whites. In groups with equal education, occupation, and other socioeconomic characteristics the nonwhites made fewer out-of-county moves. Farm-nonfarm mobility. --Persons living on farms in March 1966 had moved only one-half as often, both within and outside the county, as the nonfarm dwellers. In the year ending April1966, 1,108,000 persons left farms for nonfarm areas or lived on places where farming stopped. The s'ame year 250, 000 moved from nonfarm areas to farms or were on places where farming started ( 6). Of the net migration from farms, one-half was from the South and one-third from the North Central Region. A net of 17, 000 persons moved from farms in the South to farms in other regions. Agricultural workers are much more likely than others to move to another county to look for or take a job (~). Many of these move to other farm jobs, some to nonfarm areas. 18 FAMILY ECONOMICS REVIEW Job Mobility U. S. workers stay with the same job or employer an average of only 4 years (.!). Among employed men 60 to 64 years old about one-fifth have held the same job 3 years or less. Another one-fifth have held their jobs 3 to 10 years, one-fifth 10 to 20 years, one-fifth 20 to 30 years, and one-fifth over 30 years. Median tenure of the current job increases from about 1 year for workers 20 to 24 years old to 13 years for those 55 to 64 years. Job tenure differs considerably for workers in different industries and occupations. For example, median years on the job among men 25 to 44 years old is 9 for agricultural workers, 5 for other wage and salary workers, and 6 for the self-employed. Workers in transportation and public utilities, public administration, and manufacturing have longer tenure than those in other nonagricultural industries, and workers in construction have shorter tenure. In general, white men hold a job longer than nonwhite, and men hold a job longer than women of the same age (table 2). Married women are responsible for women's low tenure, for single women have a higher average number of years on the job than men the same age. Table 2. --Median number of years worker.s have b.een on current job,- by age All 14 25 to 35 to 45 to 55 to 65 years Characteristics years old 34 44 54 64 and and over y years years years years over j All employed per.sons --- 4 3 6 9 13 14 Men ------------------ 5 3 8 12 16 16 White -------------- 6 3 8 12 16 16 Nonwhite ----------- 3 2 7 9 11 14 Women ---------------- 3 2 4 6 9 11 White -------------- 3 2 3 6 9 11 Nonwhite ----------- 3 2 5 ,6 8 -- I v Single ------------- 2 4 9 16 Married, husband present ---------- 3 2 3 6 Other marital status 4 2 3 7 ~ The 14- to 24-age group ha.s a median of about 1 for each classification. Source: u.s. Bureau of Labor Statistics (1). Workers shift often from one occupation to another, as well as from job to job. Among persons employed in both January 1965 and January 1966, 10 percent of the men and 7 percent of the women changed to a different occupation during the year. Relatively SEPTEMBER 1967 19 more young than older workers changed occupations, more men than women the same age, and more nonwhite than white men. Few shifted from blue- to white-collar occupations, but movement from blue-collar to service occupations was considerable (2.}. Sources (1) Hamel, Harvey R., Job Tenure of Workers, January 1966, U.S. Bur. Labor Statis. Rpt. No. 77, 1967. ( 2) Saben, Samuel, "Geographic Mobility and Employment Status, March 1962- March 1963," Monthly Labor Rev., Aug. 1964, pp. 873-881. ( 3) Saben, Sanluel, "Occupational Mobility of Employed Workers," Monthly Labor ~, June 1967, pp. 31-38. ( 4) U.S. Bureau of the Census, Current Population Reports, "Mobility of the Population of the United States, March 1965 to March 1966," Ser. P-20, No. 156, 1966. ( 5) U.S. Bureau of the Census, Current Population Reports, "illustrative Projections of the Population of States 1970 to 1985 (Revised)," Ser. P-25, No. 362, 1967. ( 6) U.S. Department of Agriculture, Economic Research Service, Farm Population-- Estimates for 1966, ERB-344, 1967. -Virginia Britton WIVES IN THE LABOR FORCE l/ In March 1966, 35.4 percent of all U.S. wives were in the labor force (see table). This was about the same as the 1965 rate of 34.7 percent, but considerably above the 1960 rate of 30.5 percent. Wives in the labor force include those with jobs plus those not currently employed ·but actively looking for work (the "unemployed"). In March 1966, 34. 1 percent of U. S. wives had jobs and 1. 3 percent were looking for work. The proportion of farm wives that worked has always been smaller than that of nonfarm wives, but the farm wives are catching up. In 1966, 33. 2 percent of the farm and 35.6 percent of the nonfarm wives were in the labor force . The corresponding rates in 1960 were 26. 6 and 30.9 percent. Thus, farm wives increased their labor force rate by about one-fourth between 1960 and 1966, nonfarm wives by one-seventh . • Young wives and those nearing retirement age have increased their labor force participation more than others. About 34 percent of the 14- to 19-year-old wives and 38 percent of those 20 to 24 years old were in the labor force in March 1966. This is in contrast to 1960 rates of 25 and 30 percent, respectively. More and more mothers of preschool-aged children are taking jobs now, too. In 1966, 24 percent of these mothers ll Source: U.S. Department of Labor, Bureau of Labor Statistics, Special Labor Force Reports Nos. 13, 64, and 80. 20 FAMILY ECONOMICS REVIEW were in the labor force, up from 19 percent in 1960. As for the older married women-- 55 to 64 years old--about 31 percent in 1966 compared with 24 percent 6 years earlier were members of the work force. Wives (husband present) in the labor force, by age of wife and by type of family All Age of wife and type of family Age of wif.e 14 to 19 years ------------ 20 to 24 years ------------ 25 to 34 years ------------ 35 to 44 years ------------ 45 to 54 years ------------ 55 to 64 years ---------- -- 65 years and over --------- Type of family No children under 18 years Children 6 to 17 years only Children under 6 years ---- March 1960 Percent 30.5 25.3 30.0 27-7 36.2 40.5 24.3 5.9 34.7 39.0 18.6 March 1965 Perc.ent 34.7 27.2 35.0 32.1 4o.6 44.0 31.4 7.6 38.3 42.7 23.8 March 1966 Percent 35.4 34.3 38.1 32.5 41.3 44.9 31.3 6.8 38.4 43.7 24.2 Wives 35 to 44 and 45 to 54 years old made the largest contribution to the work for·ce both in 1960 and 1966. Their labor force rates were about 41 and 45 percent, respectively, in 1966 and 36 and 41 percent in 1960. They were also the age groups with the largest numbers in the labor force. Together they made up over one-half of all wives in the labor force in 1966. SOME NEW USDA PUBLICATIONS (Please give your Zip Code in your return address when you order these.) RESEARCH ON TIME SPENT IN HOMEMAKING--An Annotated List of References. ARB-62-15. 1967. Single copy free from the Consumer and Food Economics Research Division, Agricultural Research Service, U.S. Department of Agriculture, Federal Center Building, Hyattsville, Md. 20782. HOME FREEZING OF FRillTS AND VEGETABLES. HG No. 10, Slightly revised 1967. Single copy free from the Office of Information, U.S. Department of Agriculture, Washington, D. C. 20250. SEPTEMBER 1967 21 INSURANCE FACTS FOR FARMERS. FB No. 2137, Revised 1967. Single copy free from the Office of Information, U.S. Department of Agriculture, Washington, D. C. 20250. The following publications are for sale by the Superintendent of Documents, U.S. Government Printing Office, Washington, D.C. 20402, for the prices given. (No free copies available.) 22 THE FOOD WE EAT. MP No. 870, Revised 1967. 10 cents. WHAT TO DO WHEN YOUR HOME FREEZER STOPS. Leaflet No. 321, Revised 1967. 5 cents. MAKJNG HOUSEHOLD FABRICS FLAME RESISTANT. Leaflet'No. 454, Slightly revised 1967. 5 cents. COMPREHENSIVE PLANS FOR IMPROVING RURAL COUNTIES. AlB No. 316. 1967. 15 cents. FAMILY ECONOMICS REVIEW CONSUMER PRICES Consumer Price Index for Urban Wage Earners and Clerical Workers (including single workers) ( 1957-59 = 100) Group All items ----------------------------Food -------------------------------- Food at home ---------------------Food away from home --------------- Housing ----------------------------Shelter --------------------------Rent ---------------------------- Homeown~rship ------------------Fuel and utilities ---------------Fuel oil and coal --------------Gas and electricity ------------Household furnishings and operation Apparel and upkeep -----------------Men's and boys' ------------------Women's and girls' ---------------- Footwear -------------------------- Transportation ---------------------- Private --------------------------Public ---------------------------- Health and recreation --------------- Medical care ---------------------- Personal care --------------------- Reading and recreation -----------Other goods and services ---------- July 1966 113.3 114.3 112.7 123.5 111.3 114.4 110.3 116.2 107.9 107.0 108.1 105.1 109.2 109.6 lo4.6 119.8 113.5 111.5 129.1 119.1 127 ·7 112.5 117.2 115.3 115.6 113.9 110.9 128.7 113.9 117 ·5 112.1 119.7 lo8.7 110.8 lo8.3 107.9 113.8 114.0 109.6 125.2 115.5 113.6 130.9 122.8 135·7 115.0 119.6 116.7 116.0 115.1 112.3 129.1 114.1 117.7 112.2 119.9 lo8.6 110.5 lo8.2 lo8.1 113.9 114.1 109.7 125.4 115.7 113.7 132.2 123.2 136.3 115.3 119.7 116.9 Source: U.S. Department of Labor, Bureau of Labor Statistics. Index of Prices Paid by Farmers for Family Living Items ( 1957-59 = 100) Aug. Mar. Apr. May June July Item 1966 1967 1967 1967 1967 1967 All items ----------------- 111 111 111 112 112 113 Food and tobacco -------- - 115 - - 116 - Clothing ---------------- - 122 - - 122 - Household operation ----- - 112 - - 112 - Household furnishings --- - 98 - - 98 - Building materials, house - 106 - - 106 - Autos and auto supplies - - 105 - 107 108 - July 1967 116.5 u6.o 113.3 129.7 114.5 118.1 112.4 120.5 108.9 111.4 lo8.3 lo8.2 113.7 113.9 109.2 125.4 116.2 114.1 132.7 123.6 136.9 115.5 119.8 117.8 Aug. 1967 113 -- - - - - Source: u.s. Department of Agriculture 1 Statistical Reporting Senice. SEPTEMBER 1967 23 Cost of food at home estimated for food plans at three cost levels, June 1967, U.S. average ~ Cost for 1 week Cost for 1 month Sex~e groups gj Low-cost Moderate- Liberal Low-cost Moderate- Liberal plan cost plan plan plan cost plan plan Dollars Dollars Dollars Dollars Dollars Dollars FAMILIES Family of 2: 20 to 35 years '}) --- 15.70 21.00 24.30 68.10 90.70 105.30 55 to 75 years~--- 13.10 17 .6o 20.00 56.60 76.50 86.90 Family of 4: Preschool children ~ 23.00 30.60 35.20 99.60 131-90 152.30 School children 2/-- 26.50 35.40 41.10 114.80 152-90 178.00 INDIVIDUALS ~ Children, under 1 year 3.10 4.10 4.40 13.60 17.60 .18.90 1 to 3 years ------- 4.00 5.20 5-90 17.30 22.50 25.60 3 to 6 years ------- 4.70 6.30 7.20 20.30 27.10 31.00 6 to 9 years ------- 5.60 7.50 8.90 24.30 32.50 38.70 Girls,. 9 to 12 years - 6.50 8.60 9.60 28.00 37.30 41.70 12 to 15 years ----- 7.10 9.50 11.00 30.60 41.30 47.60 15 to 20 years ----- 7.40 9-70 10.90 32.00 41.90 47.30 Boys, 9 to 12 years -- 6.60 8.80 10.10 28.50 38.00 43.60 12 to 15 years ---- - 7.60 10.40 11.80 32.80 45.10 51.00 15 to 20 years ----- 8.90 11.80 13.50 38.50 51.10 58.30 Women, 20 to 35 years 6.70 8.90 10.10 29.00 38.40 43.90 35 to 55 years ----- 6.40 8.50 9.80 27.90 37.00 42.40 55 to 75 years ----- 5·59 7.40 8.40 23.80 32.10 36.30 75 years and over -- 5.00 6.60 7-70 21.70 28.60 33.20 Pregnant ----------- 8.00 10.40 11.60 34.70 44.80 50.30 Nursing ------------ 9.20 11.90 13.10 39-90 51.50 56.90 Men, 20 to 35 years -- 7.60 10.20 12.00 32.90 44.00 51.80 35 to 55 years ----- 7.10 9.40 10.90 30.60 40.90 47.20 55 to 75 years ----- 6.40 8.60 9.80 27-70 37-40 42.60 7 5 years and over -- 6.00 8.30 9-50 25.90 36.10 41.10 1/ Estimates computed from quantities in food plane published in FAMILY ECON~ CS REVIEW, October 1964. Costs of the plans were first estimated by using average price per pound of each food group paid by nonfarm survey families at 3 income levels in 1955. These prices were adjusted to current levels by use of Retail Food Prices b Cities released by the Bureau of Labor Statistics. · 2 Persons of the first age listed up to but not including the second age. 1./ Ten percent added for family size adjustment. For derivation of fact.ors for adjustment, see Family Food Plans and Food Costs, USDA, HERR No. 20. J:} Man and woman, 20 to 35 years; children 1 to 3 and 3 to 6 years. 5/ Man and woman, 20 to 35 years; child 6 to 9, and boy 9 to 12 years. ~ Costs given for persons in families of 4. For other size families,adjust thus: 1-person, add 20 percent; 2-person, add 10 percent; 3-person, add 5 percent; 5-person, subtract 5 percent; 6-or-more person, subtract 10 percent. 24 FAMILY ECONOMICS REVIEW "V.S. !Xl'llaiiii)IT fi!IMTJ!fO CDICEt 15'67 )Ol- 7Sl (PIS-48)
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Title | Family Economics Review [1967, Number 3] |
Date | 1967 |
Contributors (group) | Institute of Home Economics (U.S.);United States. Agricultural Research Service;Consumer and Food Economics Research Division;Consumer and Food Economics Institute (U.S.);United States Science and Education Administration;United States. Agricultural Research Service;United States Agricultural Research Service Family Economics Research Group |
Subject headings | Home economics--Accounting--Periodicals |
Type | Text |
Format | Pamphlets |
Physical description | 8 v. ; $c 27 cm. |
Publisher | Washington, D.C. : U.S. Institute of Home Economics, Agricultural Research Service, U.S. Dept. of Agriculture |
Language | en |
Contributing institution | Martha Blakeney Hodges Special Collections and University Archives, UNCG University Libraries |
Source collection | Government Documents Collection (UNCG University Libraries) |
Rights statement | http://rightsstatements.org/vocab/NoC-US/1.0/ |
Additional rights information | NO COPYRIGHT - UNITED STATES. This item has been determined to be free of copyright restrictions in the United States. The user is responsible for determining actual copyright status for any reuse of the material. |
SUDOC number | A 77.708:967/3 |
Digital publisher | The University of North Carolina at Greensboro, University Libraries, PO Box 26170, Greensboro NC 27402-6170, 336.334.5482 |
Full-text | ;v MICS EW fonsumer and Food Economics Research Division Agricultural Research Servic·c• UNITED STATES DEPARTMENT OF AGRICULTURE Ktllim~•I~'IR PROPERTY OF THE CONTENTS LIBRARY OCT 16 1967 UNIVERSITY OF NOR-I H CAROLINA AT GREENSBORO Page CHANGING FOOD CONSUMPTION IN THE UNITED STATES---~ _ j_lj 3 HOMEFREEZER MANAGEMENT SURVEY: Advantages and Dis-advantages of Freezer Ownership; Defrosting Practices; Costs 6 USDA TEXTILES AND CLOTHING LABORATORY MOVES TO TENNESSEE ----------------------------------------- 10 TRENDS IN PRICES OF FOOD AT HOME AND AWAY FROM HOME 10 TRENDS IN CONSUMER INSTALLMENT CREDIT --------------- 12 SURVEY OF THE MARKET FOR FOOD AWAY FROM HOME------ 15 MOBILITY IN THE UNITED STATES-------------------------- 16 WIVES IN THE LABOR FORCE ------------------------------ 20 SOME NEW USDA PUBLICATIONS--------------------------- 21 CONSUMER PRICES----------------------------------------- 23 COST OF FOOD AT HOME ---------- ----------------------- 24 ARS 62-5 September 1967 FAMILY ECONOMICS REVIEW is a quarterly report on research of the Consumer and Food Economics Research Division and on information from other sources relating to economic aspects of family living. It is developed by Dr. Emma G. Holmes, research family economist, with the cooperation of other staff members of the Division. It is prepared primarily for home economics agents and home economics specialists of the Cooperative Extension Service. CHANGING FOOD CONSUMPTION IN THE UNITED STATEs.!/ Changes in the food consumption of U. S. families can be traced by comparing data from nationwide surveys made by the U.S. Department of Agriculture. The most recent of these was made in 1965 and the previous one in 1955. Others were made in 1948, 1942, and 1936. This article reports changes between 1955 and 1965 in food used at home during a week in spring, based on data from the surveys made in those years. What Changes in Food Consumption? Meat group.--Both the quantityused and the money value of the meat group (meat, poultry, fish; eggs; dry beans and peas, nuts) increased between 1955 and 1965 (fig. 1). Quantity increased 8 percent and value 17 percent. The larger increase in money value was due largely to the increase in the average price of foods .in the meat group, which went from 53 to 57 cents per pound. Increases in the meat group have been chiefly in beef and poultry. Changes in meat consumption show that the influence of price on consumption is unpredictable in a period of increasing affluence. Beef, with a price rise of about 20 percent, increased 30 percent in amount used. Poultry, with a price drop of 27 percent, increased 19 percent in amount used. Eggs declined about 11 percent in price per pound and 2 percent . in quantity used. Pork rose 6 percent in price and fell 4 percent in use. The money value of fish stayed the same but its use decreased 8 percent. Two foods not shown on the chart increased in quantity used-peanut butter nearly 60 percent and lunch meats 17 percent. Milk group. --The quantity used of foods in the milk group (milk, cheese, ice cream) was down 8 percent and the money value was down 4 percent in 1965 (fig. 2). Much of the decrease in quantity reflects the use of less fresh fluid milk and cream. Consumption shifted away from these products to more frozen milk desserts, cheese, and processed milk. The quantity of evaporated milk used in 1965 was about two-thirds that of 1955, and the quantity of nonfat dry milk was more than double that of the earlier year. Vegetables and fruit group. --Consumption of the vegetable-fruit group fell 9 percent, but money value rose 14 percent. This group includes fresh, canned, frozen, and dried fruits and vegetables--except dry beans and peas. The cost per pound of the assortment of vegetables and fruits families used increased nearly 30 percent. Cost per pound rose from an average of 14 cents to 18 cents because of the general price rise and the shift from fresh to the more costly canned and frozen forms. The canned forms cost about one-fourth more a pound than fresh in both periods. The frozen forms cost about three times as much as the fresh in 1955 and twice as much in 1965. 1/ Condensed from a paper presented by Sadye F. Adelson at the 58th Annual Meeting of the American Home Economics Association, Dallas, Tex. June 27, 1967. SEPTEMBER 1967 3 Consumption of frozen vegetables and fruits increased an average of about 0.1 pound per person a week, rising from 0. 3 to 0. 4 pound between 1955 and 1965. Fresh vegetables and fruits decreased about 1 pound, dropping from 7.4 to 6.3 pounds per person. This decrease was in potatoes and sweet potatoes (down to 0. 3 pound), in "other " vegetables (down 0. 4 pound), and in fruit (down 0. 4 pound). The only increase in fresh produce used was in fruit juices (up 0.1 pound). Bread-cereal group.--Families were using 10 percent less of foods in the breadcereal group (flour equivalent) in 1965 than 1955 (fig. 3). However, money value was up 30 percent, due primarily to a shift to bakery products other than bread and to ready-toeat breakfast cereals. Use of breakfast cereals increased about one-fourth and bakery products other than bread two-thirds, whereas use of flour decreased about one-third. How Does Food Use Differ Among Population Groups ? Regional differences. --Families in the South had about 1 pint less milk and 0. 7 pound less vegetables and fruit per person per week than those in the North (fig. 4). But they had 1. 2 pounds more bread and cereals and about the same amounts of foods in the meat group. Urbanization differences.--Urban and farm households averaged about the same amount of each food group except the bread-cereal one (fig. 5). Farm families used 3. 3 pounds per person of the bread-cereal group, and urban families 2. 3 pounds. Income differences.--Families with incomes under $3,000 averaged nearly 3 cups less milk, 0. 5 pound less meat, and 1.7 pounds less vegetables and fruit per person a week than families with $7,000 to $10,000 (fig. 6). However, the low-income group had 0.8 pound more bread and cereals. Thus, the lowest users of the milk, meat, and vegetable- fruit groups were the families in the South and those with low incomes. The lowest users of the bread-cereal group were families in the North, in the cities, and with high incomes. Has the Family's Food Pattern Changed? Family food patterns have changed some, but no major shifts have occurred. Meat is the only food group that increased in use, rising from 5.2 to 5.6 pounds per person per week. Milk decreased from 4. 5 to 4. 1 quarts (in calcium equivalent of fluid whole milk) per person. Vegetables and fruit were down 0. 9 pound, dropping from 9. 6 to 8. 7 pounds per person. Foods in the bread-cereal group declined from 2. 8 to 2. 5 pounds. Use of fats and oils and sugars and sweets decreased--the former from 0. 9 to 0. 8 pound per person per week, the latter from 1. 2 to 1.1 pounds. Use of beverages other than coffee increased considerably--soft drinks from 0.9 to 1.5 pounds per person and fruit ades, fruit drinks, punches, and nectars from 0. 04 to 0. 34 pound. 4 FAMILY ECONOMICS REVIEW TOTAL GROUP BEEF POULTRY PORK FISH & SHELLFISH EGGS MEAT GROUP Use and money value up in 1965 %CHANGE, 1955 TO 1965 • QUANTITY 0 MONEY VALUE Household Food ConsumptiOn Sur ... eys, Sprma 1965 and 1955 All HousehOlds "' US U.S. Ofi'Ati:TIIIENT Of AGIIICUlTUJIE NEG. NO. 67161 Sll6 ACJI ICUlfUJIAl JI[S(AJICtt SERVICE -30 TOTAL GROUP FRESH FLUID MILK PROCESSED MILK CREAM FROZEN MILK DESSERTS CHEESE Figure 1 MILK GROUP Use and money value down in 1965 -20 %CHANGE, 1955 TO 1965 ·10 0 +10 +20 +30 .QUANTITY 0 MONEY VALUE +40 Househokf Food ConsumptiOn Surwys, Spr•na 1965 and 1955 U.S. Oli'AIIITMEMT D' AGJtiCUlllHt[ JIIEG. NO 6116) 5al7 AU HousehOlds '" U S AGJIICUlTUJIAL R£S[ARCI1 S(ltYICt TOTAL GROUP BREAD OTHER BAKERY PRODUCfS BREAKFAST CEREAL OTHER CEREAL, PASTES FLOUR, MIX Figure 2 BREAD CEREAL GROUP Use clown, money value up in 1965 +70 +80 +90 .QUANTITY 0 MONEY VALUE Hout.nokl food ConsumpltOn Surveys, 59f1111 1965 and 1955 All HouMhOids 1n U 5 MEG.- NO. 67(6) !1139 -"JIICUlTUJIM. ltUtARCH Sflt'IIC[ Figure 3 SEPTEMBER 1967 REGION AND FOOD USE In South, leu milk, vegetables and hvit bvt more b,eod and cereals than in North MILK GROUP MEAT GROUP VEGETABLE FRUIT GROUP 1--------------' BREAD CEREAL GROUP 1--------' POUNDS PER PERSON PER WEEK HousehOld Food Consumption Sur .. ys, Spr.na1965 and 1965 An Househ olos '"uS US.. Of.I',UTIII[NT Of AGitiCUlTUit[ N[C foK) 67(6) ~l• AC>f!ICUlTUitAllt(S[AitCI't S£11YIC( Figure 4 URBANIZATION AND FOOD USE On farms, more bread and cereals than in cities MILK GROUP MEAT GROUP VEGET"BLE FRUIT GROUP 1------------~=:=:=::J BREAD CEREAL GROUP._ __ ___~ POUNDS PER PERSON PER WEEK Housenold food Consumption Surveys, Spr~na 1965 •nd 1955 All H ttu \ e"~ Ooa\ .n us US 0[PAIITM[NT Of ACitiCUlTUit[ M(C P+0 6716) Sill .. GitiCUlTUII .. llllShltC" Sllt\IIC( Figure 5 INCOME AND FOOD USE At low incomes, more bread and cereals, len of other foods MILK GROUP MEAT GROUP VEGETABLE FRUIT GROUP 1----=====:=:=:=:=::.___J 3 8 10 POUND! PER PERSON PEl WEE« Household Food ConsumptiOn Surveys, Spr~na 1965 1nd 1955 All Householas onus U.S. 0£1'AitTtii£NT Of AGIIICUl TUit[ NEC.. NO 67161 SllS ACitiCUlTUIIAl It($ (ARCH S[lt'tiC[ Figure 6 5 In terms of servings, the average amounts of food used per person per week were less in 1965 than 1955 by the equivalent of 1.6 cups of milk, 4 servings of vegetables and fruit, 5 to 6 slices of bread, 4 tablespoons of oil, and 8 tablespoons of sugar. But the meat group increased by the equivalent of one fairly goo~-sized serving. Soft drinks increased about 1. 5 cups and fruit drinks about 0. 5 cup. Why the Changes in Food Consumption? The increase in use of poultry between 1955 and 1965 was probably due to the decrease in price of a popular food. Beef use increased despite higher prices, indicating the effect of higher incomes and differences in food preferences. The rise in use of frozen desserts reflects in part the introduction of many new low-priced and low-caloried products. Some people apparently followed the advice to cut calories and be selective in the types of fats used. Less food was consumed, on the average, in 1965 and shifts from butter and shortening to margarine and oils, and from whole milk and cream to skim milk were evident. Time- and work-saving foods increased in use, perhaps due in part to the increase in number of working wives and mothers. Bakery products replaced a large share of the flour; ready-to-eat cereals took the place of cereals needing to be cooked; and frozen vegetables replaced some of the fresh ones. Squeezed citrus fruit as frozen and chilled juices--as well as ades-gained in use. More youths in the population and more snacking by people in general probably contributed to the increased use of ades, punches, soft drinks, potato chips, luncheon meat, peanut butter, crackers, cookies, doughnuts, frozen desserts, and candy. HOMEFREEZER MANAGEMENT SURVEY: Advantages and Disadvantages of Freezer Ownership; Defrosting Practices; Costs This is the last of four articles reporting highlights from a survey conducted by the Consumer and Food Economics Research Division in the Fort Wayne, Ind. area in 1964-65. The information was furnished by 242 farm and 240 urban homefreezer owners. Advantages and Disadvantages of Freezer Ownership Advantages. --Substantial numbers (one-fifth or more of the total) of both farm and urban homemakers mentioned these advantages of freezer ownership: Being able to freeze local or home-grown fruits and vegetables in season; saving time in shopping, or not having to shop as often; having food on hand; and saving money on food (table 1). Farm homemakers also often mentioned as advantages: Being able to freeze their own meat; 6 FAMILY ECONOMICS REVIEW T~ble 1.--Households reporting specified advantages of owning a homefreezer !/ Advantage Freeze local, home-grown, in-season fruits and vegetables ---------------------------------- Freeze own meat ------------------------------Buy food in quantity -------------------------Buy side, quarter of meat --------------------Freeze game, fish ----------------------------Save time in shopping, don't shop as often ---- Have meat on hand ----------------------------Have food other than meat on hand ------------Can cook, bake ahead -------------------------Easier than canning --------------------------Save money on meat ---------------------------Save money on food other than meat -----------Better quality meat, meat tastes better ------Better quality fruits, vegetables, taste better Better quality food, unspecified food --------Greater variety of foods, better meals -------Freeze leftovers, no spoilage or waste -------- Farm households Percent 47 28 10 7 ('ij) 30 6 26 5 15 8 24 4 2 8 10 9 Urban households Percent 29 3 15 13 1 32 13 21 12 5 22 23 5 ('ij) 3 5 10 ~ Responses from 242 farm and 239 urban homemakers. The average number of advantages mentioned was 2.4 for farm and 2.1 for urban households. y Less than 0. 5 percent. that freezing is easier than canning; and having greater variety of foods and therefore better meals. City homemakers often mentioned the advantage of saving money on meat; of buying a side or quarter of a carcass; and of having meat on hand. Disadvantages. --About 80 percent of the farm and 85 percent of the urban homemakers reported no disadvantages in owning a freezer (table 2). Those who gave any disadvantages most often mentioned the nuisance of defrosting, and that foods are frozen solid when needed. A few mentioned power failure--actual or the possibility of it. During the 2 years before the interview, power failure resulting in the thawing of food in the freezer had occurred once in three farm and five urban households; twice in one urban household; and three times in one farm home. Defrosting Practices Most of the homemakers (82 percentof the farm and 74 percent of the urban) said they defrosted their freezers once or twice a year (table 3). About 11 percent of the SEPTEMBER 1967 7 Table 2.--Households reporting specified disadvantages of owning a homefreezer !/ Farm Urban Disadvantage households households No disadvantages ----------------------------Nuisance of defrosting ----------------------Food frozen solid when needed ---------------Possibility of power failure, actual power failure ------------------------------------ Not using it fully, not keeping it full ------ OVerbuying ----------------------------------- Eating too much of the same food, same meat -- eantt get to bottom in chest type, things fall out of upright ----------------------------- Expensive ------------------------------------ Percent 79 7 5 3 1 0 1 3 2 Percent 85 6 3 2 2 1 1 0 0 !J Responses from 240 homemakers. The average number of disadvantages mentioned was 0.2 per household. Table 3.--Houeeholde reporting specified defrosting practices for homefreezere Defrosting practice Frequency: Farm households 1/ Percent Once a year -------------------------- 47 Twice a year ------------------------- 35 More than twice a year --------------- 4 Once in 2 years ---------------------- 1 Once in 3 years ---------------------- 1 Twice in 3 years --------------------- 1 Freezer is self-defrostingJ have never defrostedJ scraped ----------------- 11 Time required: Less than 1/2 hour ------------------- 8 1/2 to less than 1 hour -------------- 22 1 hour to less than 2 hours ---------- 24 2 hours to lese than 3 hours --------- 22 3 hours or more ---------------------- 24 1/ 242 reported frequency, 211 time required. g{ 240 reported frequency, 206 time required. Urban households Percent 41 33 8 1 2 1 14 4 11 29 25 31 gj 8 FAMILY ECONOMICS REVIEW farm and 14 percent of the urban homemakers said they had self-defrosting freezers, or had never defrosted, or had scraped the frost off. The time required to defrost the freezer varied from less than one-half hour to 3 or more hours. The median was between 1 and 2 hours for farm households and between 2 and 3 hours for urban households. Frozen foods were protected during defrosting in such ways as putting them in a covered container; wrapping them in blankets, rugs, or newspapers; ·putting them in a refrigerator; and putting them outdoors in winter. Costs Although only 2 percent of the farm and none of the urban homemakers mentioned cost as a disadvantage of homefreezers, a family thinking of buying a freezer will want to take cost into consideration. Estimated costs of operating the homefreezer for the monthin which the families kept records of food input are shown in table 4. In these estimates the electrical energy requirements for freezing food and maintaining 0° F. for storage are based on data from Home and Garden Bulletin No. 48, Home Freezers--Their Selection and Use. The electrical rate is based on information from two utility companies in the Fort Wayne area. One quoted the average residential rate for 1964 as 1. 91 cents per kilowatt-hour, the other 1. 99 cents. The midpoint--1. 95 cents--was used in the calculations. Table 4.--Homefreezing costs for 1 month (excluding cost of food) Item Freezer: Net depreciation (15 years expected life) Repairs (2 percent of purchase price per year) --------------------------------- Electricity for-- Freezing food (0.1 kw.-hr. per lb. at 1.95 cents per kw.-hr.) --------------Maintaining oo F.-- 0.20 kw.-hr. per cu. ft. per 24 hr. at 1.95 cents per kw.-hr. ----------- 0.22 kw.-hr. per cu. ft. per 24 hr. at 1.95 cents per kw.-hr. ----------Packaging (2.5 cents per lb. frozen) ------ Total ------------------------------------- SEPTEMBER 1967 Farm households Dollars 1.67 .50 .07 2.11 Urban households Dollars 1.67 .50 .o6 1.93 -71 4.87 9 For farm households, the median freezer size was 18.0 cubic feet, and the median purchase price $300. Total monthly input of food averaged 46 pounds, 80 percent of which was frozen in the homefreezer. For city households, the median freezer size was 15.0 cubic feet and the median purchase price $300. Total monthly input of food averaged 43 pounds, 66 percent of which was frozen in the homefreezer. The cost of home freezing for the month input records were kept, not including the cost of the food, averaged slightly more than $5 for farm and slightly less than $5 for urban households. The cost per pound of food would depend on how much food was in the freezer and the rate of turnover. USDA TEXTILES AND CLOTHING LABORATORY MOVES TO TENNESSEE The U. S. Department of Agriculture will soon relocate its Textiles and Clothing Research Laboratory at the University of Tennessee, Knoxville. The laboratory is part of the Consumer and Food Economics Research Division of the Agricultural Research Service. It was formerly in the Clothing and Housing Division. The main reason for moving the laboratory from the Agricultural Research Center in Maryland is to place it near ~. a strong university program of home economics research, teaching, and extension in a State where textiles are economically important. The University of Tennessee meets these criteria. It also has textile-oriented units in agriculture, physics, and engineering. Under terms of the agreement between the USDA and the University of Tennessee, university researchers will work with ARS staff to conduct studies that will ( 1) find out consumer needs for textiles and clothing and how well products available meet these needs; ( 2) develop basic principles to guide consumers in selecting and caring for textiles and clothing; and ( 3) solve other problems in textiles and clothing that ARS and university scientists agree are economically or technically important. Research will get underway at the new location when the building being renovated for the laboratory is ready and a staff has been assembled. TRENDS IN PRICES OF FOOD AT HOME AND AWAY FROM HOME Food prices have risen along with consumer prices in general. The index of prices for food as a whole increased from 99. 7 in March 1959 to 114. 2 in March 1967- a gain of 15 percent during the 8 years (see figure). (The Bureau of Labor Statistics' Consumer Price Index uses average prices for the years 1957, 1958, and 1959 as a base; i.e. , 1957-59 = 100.) Gains during the 8 years for the two components of the food index -food bought to be prepared at home, and food bought and eaten away from home-- 10 FAMILY ECONOMICS REVIEW PRICES OF FOOD AT HOME AND AWAY % OF 1957-59 120 1965 1967 ILS DATA .. CITY WAGE £A.HE•s AHD CLEitiCAL WORK fitS. U. S. DEPARTMENT OF AGAICUL TURf NEG. ARS 67 (1)-5161 AGRICULTURAL RESEARCH SERVICE differed widely. The index of prices for food at home rose 12 percent (from 99. 4 to 111. 5), while the index for food away from home increased 26 percent (from 101.5 to 127. 7). The main reason for the steeper rise in prices for food away from home was the increased cost of labor involved in preparing and serving food in restaurants, hotels, cafeterias, and other commercial eating places. Compared with the general price index, the index for food used at home has been consistently lower since 1959--except in March 1966--and the index for food away from home has been consistently higher. Prices for food as a whole were also lower than the general price index until June 1965, when the two met. The food indexwas above the aUitems index each quarter in 1966, then feU below in March 1967. A change in the prices of food away from home affects the over aU food price index less than a change in the price of food to be used at home. In 1960-61, urban families spent an average of $1,311 for food, of which $1,036 was for food at home and $275 was for food away from home . .!/ Thus, food at home accounted for about four-fifths and food away from home for one-fifth of the total food expenditure. Prices of food at home are given about four times as much weight as those for food away in calculating the food price index. --Emma G. Holmes .!/ Bureau of Labor statistics, Survey of Consumer Expenditures, 1960-61, Consumer Expenditures and Income, Urban United States, 1960-61. Rpt. No. 237-38, table 1A. SEPTEMBER 1967 11 TRENDS IN CONSUMER INSTALLMENT CREDIT,!/ Credit in 1966 Consumer debt continued its long-time upward trend in 1966, but at a considerably lower rate than in 1965. Total consumer installment debt outstanding rose $6. 1 billion--or 9 percent--in 1966, compared with $8 billion--or 13 percent--the previous year. Growth in automobile debt, personal loans, and repair and modernization loans slackened. The only substantial increase was in debt for "other consumer goods" probably reflecting the spreading use of revolving credit. Disposable personal income was about 8 percent higher in 1966 than in 1965. Automoblle credit. -Automobile debt increased an average of $175 million a month in 1966, compared with $300 million a month in 1965. Sales of both new and used cars were down in 1966. However, the average amount of the installment credit contract for car purchase rose, as did the proportion of cars bought on credit. The proportion of new cars bought on credit increased about 3 percentage points in 1966. Nearly 4 out of every 5 new car sales in June and July involved credit financing. This was considerablyhigherthan in the same 2months of other recentyears. Consumers paid more for new cars, also, buying larger cars with more optional equipment. About 60 percent of the new cars bought in the first quarter of 1966, compared with 52 percent in the first quarter of 1965, cost more than $2,500. The average note on new cars rose about $80, on used cars $50. Maturities on car loans lengthened between 1960 and 1966, largely because of the shift to 36-month loans (see table). Most auto loan maturities are for such standard lengths of time as 12, 18, 24, 30, and 36 months. For example, about 98 percent of the new-car contracts maturing in 31 to 36 months are 36-month contracts. Other installment credit. -- The amount of installment credit extended to consumers for buying "other consumer goods" (that is, other than cars) was almost 10 per..;. cent higher in 1966 than 1965. This was due in part to increased use of revolving credit. The demand for air conditioners in the long hot summer of 1966, and for color TV sets, also contributed to the rise. Personal installment loans continued to increase in 1966, but by less than 4 percent-- the smallest advance in 4 years. This was partly because of the increased use of credit cards instead of loans to finance travel and vacations. Home repair and modernization loans were about in line with seasonal expectations during the first 3 quarters of 1966, but dropped in the last quarter to the lowest level since late 1962 . .!/ From articles in the Federal Reserve Bulletins of March 1967 (pp. 341-352), and June 1966 (pp. 769-780), and data from the Federal Reserve Bulletin of June 1967. 12 FAMILY ECONOMICS REVIEW Length of new- and used-car installment maturities January 1960 and November 1966 New-car contracts Used-car contracts Maturity Y Jan. 1960 r Nov . 1966 Jan. 1960 I Nov. 1966 Percent Percent Percent Percent 24 months or less --- 20 15 45 25 to 30 months ----- 9 3 34 31 to 36 months ----- 69 81 ) 37 months or more --- 1 y ) 21 y Balloon contracts (providing for a large final payment), not shown separately, accounted for less than 1 percent of each classi~ication. gj Less than 0.5 percent. Source: Fed. Reserve Bul., Feb. 1967. 26 31 43 Debt repayments. --Repayments on installment debt increased in 1966, but at a lower rate than in recent years. Consumers paid 14.4 percent of their disposable income on these debts. Delinquency rates were about the same as in 1965. The number of personal bankruptcies filed in 1966 was over 13,000 higher than in 1965, and triple the number filed in 1956. Some of this increase is probably due to greater consumer awareness of the availability of bankruptcy procedures, and some to higher consumer indebtedness. The number of personal bankruptcies is small, however, in relation to the millions of installment debtors. Credit in the First Quarter of 1967 During the first quarter of 1967, installment credit outstanding (seasonally adjusted) rose only $760 million, compared with $1. 8 billion in 1966. Credit outstanding on automobile loans increased .$4 million in the first quarter of 1967. Three of the four classes of installment debt increased less in the 1967 than the 1966 quarter, as follows: Type of installment debt Automobile ----------------Other consumer goods ------Personal loans-------------- Increase in debt outstanding First quarter, 1967 First quarter, 1966 $4 mil. $483 mil. $291 mil. $693 mil. $632 mil. $455 mil. Installment debt on home repair and modernization loans decreased by $18 million in the first quarter of 1967, compared with a $4 million gain in the same period of 1966. SEPTEMBER 1967 13 Developments in Consumer Credit Noninstallment credit. --Consumers have turned increasingly to credit cards to pay for gasoline, lodging, and other traveling expenses, and recently for a wide range of goods and services. The total amount owed on credit-card accounts at the end of April 1966 was estimated at $765 million, one-fifth larger than a year earlier and twice as large as at the end of April1960. Though still a comparatively small part of all chargeaccount credit, credit-card credit has increased faster than other types of such plans. Growth factors in consumer credit. --Growth of consumer credit has naturally accompanied the increase in ownership of cars and other durable goods. Spreading use of personal loans to finance travel, education, and similar service expenditures has also been an important factor in credit growth. Consumer attitudes toward the use of credit have changed. Consumers are more ready to commit their future incomes to debt payments now than they were a generation ago. Rising incomes and employment and increasing security of jobs and incomes have encouraged people to assume installment debts. Facilities for lending to consumers have grown tremendously. Lenders have become willing to extend credit to an ever-widening segment of the population. Financial institutions and retailers have promoted consumer credit, and have adopted new and more flexible credit plans to make credit buying easy. New credit plans include various types of revolving credit plans, which provide for "lines of credit" (that is, prearranged limits on the amount of debt the customer may accumulate), and permit the customer to pay the debt in monthly installments. Revolving charge accounts make it possible to extend installment credit for small purchases that would previously have been on a cash or conventional charge-account basis. To a growing extent revolving credit has been substituted for conventional charge accounts and installment credit. Revolving credit plans have spread rapidly at department stores and mail-order houses. At the end of 1965 they accounted for nearly $3 billion of the $5. 3 billion of installment credit outstanding at these outlets. Credit-card banking is an important recent development in methods of extending credit. Many banks are now offering their own credit cards, designed primarily to finance local retail purchases. Some banks have started programs for franchising or interchanging their cards with other banks, so they can be used on a regional or nationwide basis. It is estimated that more than 1, 000 banks initiated credit-card service in 1966. Bank credit-card plans are basically of two types: Charge-account and checkcredit. Under the charge-account plan, customers use their bank credit cards to make purchases at any participating store. The bank does the monthly billing and the stores usually pay a membership fee and take a small discount on sales made under the plan. This plan makes it possible for small-volume merchants to offer credit. Under the checkcredit plan, customers can draw checks up to a prearranged limit and make monthly payments based either on the amount actually owed or on the total credit line. Some plans 14 FAMILY ECONOMICS REVIEW combine both features, permitting the consumer both to obtain cash advances and charge purchases. Repayment procedures are like those in most revolving credit plans. The bank makes a service charge unless the account is settled in full by a specified date. The changing composition of the population has also been a factor in the increased use of installment credit. The number of households with heads under 25 years of age has expanded rapidly, and is likely to continue expanding for the next several years. These young families are frequent users of credit because their need and desire for household goods and cars generally are greater than their ability to pay cash for them. SURVEY OF THE MARKET FOR FOOD AWAY FROM HOME.!/ Away-from-home food service is available in more than 367, 000 establishments in this country, not counting elementary and secondary schools, military installations, correctional institutions, commercial carriers, Federal hospitals, and boarding houses. Of the 367, 000 total, 93 percent are public eating places and 7 percent are such institutions as hospitals, colleges, and homes for the aged. Together they have gross sales of about $22 billion a year in food and nonalcoholic beverages. These estimates are based on data collected in 1966 by the U.S. Department of Agriculture and the food industry from representatives of over 6, 000 food service operations. Men are the main away-from-home eaters. Men alone or in groups were the principal patrons of 49 percent of the public eating places between opening time and 11 a.m., 33 percent between 11 a.m. and 4 p.m., 21 percent between 4 p.m. and 9 p.m., and 22 percent between 9 p. m. and closing time. Family groups were the predominant customers in 17 percent of the eating establishments at the dinner hour ( 4 p.m. to 9 p.m. ) , but in fewer of them at other times of the day. About 100 million consumer transactions took place each day in the 367, 000 food service establishments. This means that a meal, snack, or nonalcoholic beverage was served to a customer 100 million times a day. Even though each of these transactions does not represent a different customer the number of persons served is a substantial proportion of the population. Public eating places served an average of 247 meals, snacks, or beverages daily and institutions 684. If the transactions in food service outlets of the types excluded from the survey were added, the total number for a day would be over 115 million. Nearly 3.3 million persons workedinfoodservice outlets. The averagefor public eating places was 8 workers and for institutions 22. Only one-half of the public eating places had been operated by the same proprietor for 5 or more years. One-fifth of the proprietors had been in business at the same location less than 1 year. This rapid rate of change in food service establishments reflects such problems as rising costs and increasing competition. 1/ From a report with this title by Michael G. Van Dress and William H. Freund. U.S. Department of Agriculture, Economic Research Service. 45 pp. May 1967. SEPTEMBER 1967 15 MOBILITY IN THE UNITED STATES Residential Moves The U.S. population is highly mobile, with about one in five persons moving to a different dwelling each year. Among a typical group of 100 persons, 19 move in a year (_i). .!/ Of these-- 13 move within the same county; 3 move to a different county in the same State; 1 moves to a contiguous State; and 2 move to a noncontiguous State. Regional mobility. --Although moves from one dwelling to another were made by about 1 out of 5 persons each year between 1960 and 1965, net moves from one region to another declined. The annual net migration rate between regions dropped from an average of 489,000 in 1960 to 1964 to 204,000 in 1964 to 1966. However, net migration between regions is expected to rise to an annual average of 210,000 to 272,000 in the 20 years ending 1985 (~). (Net migration is the number who move in minus the number who move out.) Net regional migration has been largely to the West and is expected to continue in that direction. Migration was largely from the North Central and Southern Regions in the 1960's. It is expected to be largely from the North Central Region in the period ending in 1985. Age, sex, and mobility. --The early twenties is the age when young people are taking jobs and getting married, which usually means moving to a different residence. Among 100 young people married between March 1965 and March 1966, 89 moved during the year. Of these 89-- 59 moved within the same county; 14 moved to a different county in the same State; 6 moved to a contiguous State; and 10 moved to a noncontiguous State. The 20-to-24 age group is the most mobile, with an annual mobility rate of 42-that is, 42 out of 100 move during the year (table 1). These young people have the highest rate of within-county moves ( 25 per 100), of moves to other counties in the same state ( 8), and of moves to other States ( 9). Persons 65 years old and over are the least mobile. Only 9 out of 100 of these elderly people move in a year--6 within the same county and 3 to another county. ,!/ Underscored numbers in parentheses refer to sources listed on page 20. Unless otherwise noted, data are from source (_i). 16 FAMILY ECONOMICS REVIEW Table 1.--Percent of the population 1 year old and over who moved to a different residence, March 1965 to March 1966 ~ Personal characteristics, March 1966 Total movers y Within the county To a different count Same Contig- Total State uous State Noncontiguous State Percent Percent Percent Percent Percent Percent Total population ------------------- Age: Under 18 ------------------------- 18 to 34 ------------------------- 20 to 24 ----------------------- 18 to 24: Single ----------------------- Married, spouse present -----First married 1n past year - Other marital status --------- 35 and over ---------------------- 65 and over -------------------- Sex: Male Female --------------------------- Occupation (employed men 14 years and over): Professional workers ------------Other nonagricultural workers ---- Education (men 25 to 34 years): 0 to 8 years --------------------- 1 to 3 years high school --------- 4 years high school -------------College, l year or more ---------- Color: Nonwhite ------------------------White ---------------------------- Employment status (men 14 years and over): Unemployed ----------------------Employed ------------------------- Residence: Nonfarm -------------------------Farm ----------------------------- 19 20 33 42 20 57 89 58 l2 9 20 19 23 19 33 35 29 36 23 19 29 19 20 9 13 13 21 25 11 37 59 34 8 6 13 13 13 14 25 25 19 20 19 l2 17 13 13 6 NOTE: Details may not add to totals because of rounding. 7 7 l2 17 9 21 30 24 4 3 7 6 10 6 8 11 10 16 4 7 l2 6 7 3 3 3 6 8 4 10 14 9 2 1 3 3 5 3 4 6 5 8 2 3 5 3 3 2 1 1 2 3 l 4 6 4 1 1 1 l 2 1 1 2 1 3 1 2 2 4 6 4 7 10 11 1 1 2 2 4 2 3 3 3 5 2 2 2 5 ~ 3 1 !/ Includes members of Armed Forces living off post or with their families on post. gj Includes a few, not listed separately, who were living abroad in March 1965. SOURCE 1 U.S. Bureau of the Census ( !t_) • SEPTEMBER 1967 17 Women 18 and 19 years old--ages when many of them become brides--move more often than men the same age. Women 20 to 24 years old move somewhat more often than men their age. However, in age groups 25 years and over men move more often than women. Education and occupation. --Adults with more education, some college particularly, make more out-of-county moves but fewer within-county moves than those with less education. This is especially true for men 25 to 34 years old. Similarly, men in professional jobs move more often outside the county but make fewer local moves than men in other types of nonagricultural employment. The differences are undoubtedly related to job opportunities for these groups. Labor force status. --Persons who were unemployed in March 1966 had moved much more in the past year than those who were employed. This was true both for moves within and outside the county. Undoubtedly many of the local moves made by the unemployed were to seek lower rents. Their out-of-county moves did not seem to have been made to take known jobs, since they were unemployed at the end of the period. The Bureau of Labor Statistics made a special study of the labor force status of workers in March 1962 and in March 1963, and their residential moves during the 12 months between (~). It found that 11 percent of the men ( 18 to 64 years) who were unemployed in March 1962 moved to another county, compared with 6 percent of those who were employed. About 70 percent of those employed and 50 percent of those unemployed at that time said they moved to look for a job or to take one. Evidently the jobless men who left the county for a different home did better than those who stayed behind, for three-fourths of them--compared with one-half of the nonmigrants--had jobs at the end of the year. White-nonwhite mobility. --Nonwhite persons moved more often within the county but less often to another county than did whites. In groups with equal education, occupation, and other socioeconomic characteristics the nonwhites made fewer out-of-county moves. Farm-nonfarm mobility. --Persons living on farms in March 1966 had moved only one-half as often, both within and outside the county, as the nonfarm dwellers. In the year ending April1966, 1,108,000 persons left farms for nonfarm areas or lived on places where farming stopped. The s'ame year 250, 000 moved from nonfarm areas to farms or were on places where farming started ( 6). Of the net migration from farms, one-half was from the South and one-third from the North Central Region. A net of 17, 000 persons moved from farms in the South to farms in other regions. Agricultural workers are much more likely than others to move to another county to look for or take a job (~). Many of these move to other farm jobs, some to nonfarm areas. 18 FAMILY ECONOMICS REVIEW Job Mobility U. S. workers stay with the same job or employer an average of only 4 years (.!). Among employed men 60 to 64 years old about one-fifth have held the same job 3 years or less. Another one-fifth have held their jobs 3 to 10 years, one-fifth 10 to 20 years, one-fifth 20 to 30 years, and one-fifth over 30 years. Median tenure of the current job increases from about 1 year for workers 20 to 24 years old to 13 years for those 55 to 64 years. Job tenure differs considerably for workers in different industries and occupations. For example, median years on the job among men 25 to 44 years old is 9 for agricultural workers, 5 for other wage and salary workers, and 6 for the self-employed. Workers in transportation and public utilities, public administration, and manufacturing have longer tenure than those in other nonagricultural industries, and workers in construction have shorter tenure. In general, white men hold a job longer than nonwhite, and men hold a job longer than women of the same age (table 2). Married women are responsible for women's low tenure, for single women have a higher average number of years on the job than men the same age. Table 2. --Median number of years worker.s have b.een on current job,- by age All 14 25 to 35 to 45 to 55 to 65 years Characteristics years old 34 44 54 64 and and over y years years years years over j All employed per.sons --- 4 3 6 9 13 14 Men ------------------ 5 3 8 12 16 16 White -------------- 6 3 8 12 16 16 Nonwhite ----------- 3 2 7 9 11 14 Women ---------------- 3 2 4 6 9 11 White -------------- 3 2 3 6 9 11 Nonwhite ----------- 3 2 5 ,6 8 -- I v Single ------------- 2 4 9 16 Married, husband present ---------- 3 2 3 6 Other marital status 4 2 3 7 ~ The 14- to 24-age group ha.s a median of about 1 for each classification. Source: u.s. Bureau of Labor Statistics (1). Workers shift often from one occupation to another, as well as from job to job. Among persons employed in both January 1965 and January 1966, 10 percent of the men and 7 percent of the women changed to a different occupation during the year. Relatively SEPTEMBER 1967 19 more young than older workers changed occupations, more men than women the same age, and more nonwhite than white men. Few shifted from blue- to white-collar occupations, but movement from blue-collar to service occupations was considerable (2.}. Sources (1) Hamel, Harvey R., Job Tenure of Workers, January 1966, U.S. Bur. Labor Statis. Rpt. No. 77, 1967. ( 2) Saben, Samuel, "Geographic Mobility and Employment Status, March 1962- March 1963" Monthly Labor Rev., Aug. 1964, pp. 873-881. ( 3) Saben, Sanluel, "Occupational Mobility of Employed Workers" Monthly Labor ~, June 1967, pp. 31-38. ( 4) U.S. Bureau of the Census, Current Population Reports, "Mobility of the Population of the United States, March 1965 to March 1966" Ser. P-20, No. 156, 1966. ( 5) U.S. Bureau of the Census, Current Population Reports, "illustrative Projections of the Population of States 1970 to 1985 (Revised)" Ser. P-25, No. 362, 1967. ( 6) U.S. Department of Agriculture, Economic Research Service, Farm Population-- Estimates for 1966, ERB-344, 1967. -Virginia Britton WIVES IN THE LABOR FORCE l/ In March 1966, 35.4 percent of all U.S. wives were in the labor force (see table). This was about the same as the 1965 rate of 34.7 percent, but considerably above the 1960 rate of 30.5 percent. Wives in the labor force include those with jobs plus those not currently employed ·but actively looking for work (the "unemployed"). In March 1966, 34. 1 percent of U. S. wives had jobs and 1. 3 percent were looking for work. The proportion of farm wives that worked has always been smaller than that of nonfarm wives, but the farm wives are catching up. In 1966, 33. 2 percent of the farm and 35.6 percent of the nonfarm wives were in the labor force . The corresponding rates in 1960 were 26. 6 and 30.9 percent. Thus, farm wives increased their labor force rate by about one-fourth between 1960 and 1966, nonfarm wives by one-seventh . • Young wives and those nearing retirement age have increased their labor force participation more than others. About 34 percent of the 14- to 19-year-old wives and 38 percent of those 20 to 24 years old were in the labor force in March 1966. This is in contrast to 1960 rates of 25 and 30 percent, respectively. More and more mothers of preschool-aged children are taking jobs now, too. In 1966, 24 percent of these mothers ll Source: U.S. Department of Labor, Bureau of Labor Statistics, Special Labor Force Reports Nos. 13, 64, and 80. 20 FAMILY ECONOMICS REVIEW were in the labor force, up from 19 percent in 1960. As for the older married women-- 55 to 64 years old--about 31 percent in 1966 compared with 24 percent 6 years earlier were members of the work force. Wives (husband present) in the labor force, by age of wife and by type of family All Age of wife and type of family Age of wif.e 14 to 19 years ------------ 20 to 24 years ------------ 25 to 34 years ------------ 35 to 44 years ------------ 45 to 54 years ------------ 55 to 64 years ---------- -- 65 years and over --------- Type of family No children under 18 years Children 6 to 17 years only Children under 6 years ---- March 1960 Percent 30.5 25.3 30.0 27-7 36.2 40.5 24.3 5.9 34.7 39.0 18.6 March 1965 Perc.ent 34.7 27.2 35.0 32.1 4o.6 44.0 31.4 7.6 38.3 42.7 23.8 March 1966 Percent 35.4 34.3 38.1 32.5 41.3 44.9 31.3 6.8 38.4 43.7 24.2 Wives 35 to 44 and 45 to 54 years old made the largest contribution to the work for·ce both in 1960 and 1966. Their labor force rates were about 41 and 45 percent, respectively, in 1966 and 36 and 41 percent in 1960. They were also the age groups with the largest numbers in the labor force. Together they made up over one-half of all wives in the labor force in 1966. SOME NEW USDA PUBLICATIONS (Please give your Zip Code in your return address when you order these.) RESEARCH ON TIME SPENT IN HOMEMAKING--An Annotated List of References. ARB-62-15. 1967. Single copy free from the Consumer and Food Economics Research Division, Agricultural Research Service, U.S. Department of Agriculture, Federal Center Building, Hyattsville, Md. 20782. HOME FREEZING OF FRillTS AND VEGETABLES. HG No. 10, Slightly revised 1967. Single copy free from the Office of Information, U.S. Department of Agriculture, Washington, D. C. 20250. SEPTEMBER 1967 21 INSURANCE FACTS FOR FARMERS. FB No. 2137, Revised 1967. Single copy free from the Office of Information, U.S. Department of Agriculture, Washington, D. C. 20250. The following publications are for sale by the Superintendent of Documents, U.S. Government Printing Office, Washington, D.C. 20402, for the prices given. (No free copies available.) 22 THE FOOD WE EAT. MP No. 870, Revised 1967. 10 cents. WHAT TO DO WHEN YOUR HOME FREEZER STOPS. Leaflet No. 321, Revised 1967. 5 cents. MAKJNG HOUSEHOLD FABRICS FLAME RESISTANT. Leaflet'No. 454, Slightly revised 1967. 5 cents. COMPREHENSIVE PLANS FOR IMPROVING RURAL COUNTIES. AlB No. 316. 1967. 15 cents. FAMILY ECONOMICS REVIEW CONSUMER PRICES Consumer Price Index for Urban Wage Earners and Clerical Workers (including single workers) ( 1957-59 = 100) Group All items ----------------------------Food -------------------------------- Food at home ---------------------Food away from home --------------- Housing ----------------------------Shelter --------------------------Rent ---------------------------- Homeown~rship ------------------Fuel and utilities ---------------Fuel oil and coal --------------Gas and electricity ------------Household furnishings and operation Apparel and upkeep -----------------Men's and boys' ------------------Women's and girls' ---------------- Footwear -------------------------- Transportation ---------------------- Private --------------------------Public ---------------------------- Health and recreation --------------- Medical care ---------------------- Personal care --------------------- Reading and recreation -----------Other goods and services ---------- July 1966 113.3 114.3 112.7 123.5 111.3 114.4 110.3 116.2 107.9 107.0 108.1 105.1 109.2 109.6 lo4.6 119.8 113.5 111.5 129.1 119.1 127 ·7 112.5 117.2 115.3 115.6 113.9 110.9 128.7 113.9 117 ·5 112.1 119.7 lo8.7 110.8 lo8.3 107.9 113.8 114.0 109.6 125.2 115.5 113.6 130.9 122.8 135·7 115.0 119.6 116.7 116.0 115.1 112.3 129.1 114.1 117.7 112.2 119.9 lo8.6 110.5 lo8.2 lo8.1 113.9 114.1 109.7 125.4 115.7 113.7 132.2 123.2 136.3 115.3 119.7 116.9 Source: U.S. Department of Labor, Bureau of Labor Statistics. Index of Prices Paid by Farmers for Family Living Items ( 1957-59 = 100) Aug. Mar. Apr. May June July Item 1966 1967 1967 1967 1967 1967 All items ----------------- 111 111 111 112 112 113 Food and tobacco -------- - 115 - - 116 - Clothing ---------------- - 122 - - 122 - Household operation ----- - 112 - - 112 - Household furnishings --- - 98 - - 98 - Building materials, house - 106 - - 106 - Autos and auto supplies - - 105 - 107 108 - July 1967 116.5 u6.o 113.3 129.7 114.5 118.1 112.4 120.5 108.9 111.4 lo8.3 lo8.2 113.7 113.9 109.2 125.4 116.2 114.1 132.7 123.6 136.9 115.5 119.8 117.8 Aug. 1967 113 -- - - - - Source: u.s. Department of Agriculture 1 Statistical Reporting Senice. SEPTEMBER 1967 23 Cost of food at home estimated for food plans at three cost levels, June 1967, U.S. average ~ Cost for 1 week Cost for 1 month Sex~e groups gj Low-cost Moderate- Liberal Low-cost Moderate- Liberal plan cost plan plan plan cost plan plan Dollars Dollars Dollars Dollars Dollars Dollars FAMILIES Family of 2: 20 to 35 years '}) --- 15.70 21.00 24.30 68.10 90.70 105.30 55 to 75 years~--- 13.10 17 .6o 20.00 56.60 76.50 86.90 Family of 4: Preschool children ~ 23.00 30.60 35.20 99.60 131-90 152.30 School children 2/-- 26.50 35.40 41.10 114.80 152-90 178.00 INDIVIDUALS ~ Children, under 1 year 3.10 4.10 4.40 13.60 17.60 .18.90 1 to 3 years ------- 4.00 5.20 5-90 17.30 22.50 25.60 3 to 6 years ------- 4.70 6.30 7.20 20.30 27.10 31.00 6 to 9 years ------- 5.60 7.50 8.90 24.30 32.50 38.70 Girls,. 9 to 12 years - 6.50 8.60 9.60 28.00 37.30 41.70 12 to 15 years ----- 7.10 9.50 11.00 30.60 41.30 47.60 15 to 20 years ----- 7.40 9-70 10.90 32.00 41.90 47.30 Boys, 9 to 12 years -- 6.60 8.80 10.10 28.50 38.00 43.60 12 to 15 years ---- - 7.60 10.40 11.80 32.80 45.10 51.00 15 to 20 years ----- 8.90 11.80 13.50 38.50 51.10 58.30 Women, 20 to 35 years 6.70 8.90 10.10 29.00 38.40 43.90 35 to 55 years ----- 6.40 8.50 9.80 27.90 37.00 42.40 55 to 75 years ----- 5·59 7.40 8.40 23.80 32.10 36.30 75 years and over -- 5.00 6.60 7-70 21.70 28.60 33.20 Pregnant ----------- 8.00 10.40 11.60 34.70 44.80 50.30 Nursing ------------ 9.20 11.90 13.10 39-90 51.50 56.90 Men, 20 to 35 years -- 7.60 10.20 12.00 32.90 44.00 51.80 35 to 55 years ----- 7.10 9.40 10.90 30.60 40.90 47.20 55 to 75 years ----- 6.40 8.60 9.80 27-70 37-40 42.60 7 5 years and over -- 6.00 8.30 9-50 25.90 36.10 41.10 1/ Estimates computed from quantities in food plane published in FAMILY ECON~ CS REVIEW, October 1964. Costs of the plans were first estimated by using average price per pound of each food group paid by nonfarm survey families at 3 income levels in 1955. These prices were adjusted to current levels by use of Retail Food Prices b Cities released by the Bureau of Labor Statistics. · 2 Persons of the first age listed up to but not including the second age. 1./ Ten percent added for family size adjustment. For derivation of fact.ors for adjustment, see Family Food Plans and Food Costs, USDA, HERR No. 20. J:} Man and woman, 20 to 35 years; children 1 to 3 and 3 to 6 years. 5/ Man and woman, 20 to 35 years; child 6 to 9, and boy 9 to 12 years. ~ Costs given for persons in families of 4. For other size families,adjust thus: 1-person, add 20 percent; 2-person, add 10 percent; 3-person, add 5 percent; 5-person, subtract 5 percent; 6-or-more person, subtract 10 percent. 24 FAMILY ECONOMICS REVIEW "V.S. !Xl'llaiiii)IT fi!IMTJ!fO CDICEt 15'67 )Ol- 7Sl (PIS-48) |
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