its t Buying Panic Automobile Market What is the gutombhile doubt There is no situation? prices are going is coming back and market | it, the seller’s about ‘up, especially at used-car lots. Hager buyers with the shortages of the last war in mind are contributing to an artificial inflationary conditions: ix: x With production today at eight sitifion motor vehicles annually, there seems little justification for a “run” on cars. Production of civilian autos will depend on whether the hostilities in Korea bring on an all-out war, has but so far not a single factory reduced its oytput ‘because of war. The Cadillac company’s pending contract for production of tanks will not, according to present plans, with contract provides for use autos. The facilities now of its production interfere of idle. A different situation existed in 1942. Production of civilian cars was halted in FebruThen ary, two months after Pearl Harbor. came rationing of tires and cars. In May that year supplies of gasoline were cut in half in| the east and nation-wide gas rationing took effect in September, 1942. Postwar automobile production lagged behind predictions. Instead of reaching a plateau and leveling off, it has continued to soar. In 1949 the industry built 6,238,088 cars, trucks and buses, topping by 16% the previous record year of 1929. Company executives predict PEpaueon of eight million units this year. An editorial research study shows that prices as well as .production have soared. Retail car prices have increased 93.9 per cent (Rising costs may 1939. since September, eventually halt the buying craze.) The study brings out some interesting figures. Americans are keeping their cars longer than they used to, and driving them farther. In 1949 the average age of cars in use was 8.4 years. This compared with an Of the average of 5.6 years before the war. available) figures (latest 1947 ears junked in the average mileage accumulated was 103,000. That year the average mileage of all cars in use was only 57,000. Americans own 70% of the world’s motor vehicles. In relation to population, registration figures show there is a car for every 3.55 Americans. Russia provides a motor ve- hicle, most of them trucks, for every 70 persons. Last year Americans junked more than two million cars, a record for the decade.