THE ECONOMY: Discordant Note

The holiday cheer failed to drown out one small croak. Employment (exclusive of farm labor) in November, said the Bureau of Labor Statistics, was off 170,000 from October. It was the first time in seven years that such employment had dropped during the usually booming pre-Christmas season. (At 45,700,000, U.S. non-farm employment was still 800,000 above a year ago.)

There were layoffs in the textile, clothing and shoe industries, all hit by a slump in sales. Makers of building materials (plumbers’ supplies, structural steel, etc.) reported greater-than-seasonal layoffs, indicating a drop in building next spring.

For consumers, there was a cheery note: sliding food prices had caused another drop in the BLS cost-of-living index. It was off 0.8% to 172.2 (1935-39 = 100), lowest in five months.