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 Front Cover
 Consumer spending patterns...
 Business in greater Miami














Title: Miami economic research
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 Material Information
Title: Miami economic research
Physical Description: v. : ill. ; 28 cm.
Language: English
Creator: University of Miami -- Bureau of Business and Economic Research
Publisher: The Bureau
Place of Publication: Coral Gables
Frequency: completely irregular
 Subjects
Subject: Economic conditions -- Periodicals -- Florida   ( lcsh )
Genre: periodical   ( marcgt )
 Notes
Statement of Responsibility: Bureau of Business and Economic Research, the University of Miami, Coral Gables, Florida.
General Note: Some nos. have also a distinctive title.
General Note: Title from cover.
General Note: Description based on: Jan. 1957.
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Bibliographic ID: UF00053088
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Table of Contents
    Front Cover
        Front Cover
    Consumer spending patterns in Miami
        Page 1
        Page 2
        Page 3
        Page 4
        Page 5
        Page 6-7
    Business in greater Miami
        Page 8
        Page 9
        Page 10
        Page 11
        Page 12
Full Text








EcanaI'.


April 1955
Volume 8
Number 2


















The University of Miami
CORAL GABLES, FLORIDA


* *


;_
ii":


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Si









Miami Economic Research


FORMERLY MIAMI RESIDENTIAL RESEARCH


A QUARTERLY PUBLICATION


The University of Miami
Coral Gables Florida
JAY F. W. PEARSON, President
Selool of Business Administration
GROVER A. J. NOETZEL, Dean


Copyright 1955
The University of Miami


Division of Research and Industry
WALTER O. WALKER, Dean
Bureau of Business and
Economic Research
REINHOLD P. WOLFF, Director

Editor:
Dorothy G. Melville


Volume 8 April 1955 Number 2


CONSUMER SPENDING PATTERNS IN MIAMI
COMPARED WITH THOSE IN EIGHTEEN OTHER LARGE CITIES


Consumer spending patterns in the Miami area
are a subject of frequent popular discussion, par-
ticularly as compared with those in other large
city areas. Many people think that Miami, with
its sub-tropical climate, offers "cheap" living
conditions because of its proximity to a rich, year-
round farming area and because there is no need
for winter clothing or heating. On the other hand,
some people look at Miami as a high-cost resort city
where living expenses are inflated by the presence
of a large and wealthy tourist population, and
far exceed those of a comparable manufacturing
community.
A detailed examination of these claims and
counter-claims is made difficult by the lack of
basic data on prices, wage rates and consumption
patterns in different areas and it is therefore
impossible to compare accurately the cost of living
in Miami with that in other cities. However, some
valuable information on this subject is supplied
by a sample study made by the Department of
Labor on 1950 consumer expenditures in various
cities throughout the United States.* This study
does not give figures on either prices or wages in
the observed areas but it does allow for comparison
of basic spending patterns of families of fairly
similar income status in different parts of the
country. In general, there seems to be much less
difference in consumer spending between Miami


and other large cities than is generally assumed.
Spending for food, shelter, clothing, fuel and trans-
portation varies from city to city, but not as vastly
as common belief has it.
Table I compares expenditures by Miami wage-
earners' families for five major consumer items
with those made by similar income groups in eigh-
teen other large cities (250,000 and over). The
other eighteen cities picked for comparison were
those where total consumer spending (in the sample
selected by the Department of Labor) was approxi-
mately the same as in Miami; thus in our study,
Miami is the median city with total consumer
expenditures ranging slightly higher in half of the
others and slightly lower in the other half. In
Miami,- a wage-earner's family with an annual
consumption of $4,145 spent $99 less for food,
$50 less for fuel, light, refrigeration and water,
and $69 less for clothing than a similar family in
the other eighteen cities, but he also spent $46
more for housing and $50 more for transportation
than a comparable northern or western family.
If we express expenditures for food, clothing,
transportation etc. as percentages of all expendi-
tures, we obtain a picture of the relative importance
of these items in the budgets of wage earners in
various cities. Miamians spent 1.6 per cent less
for food, 1.4 per cent less for utilities, 1.3 per cent
less for clothing, but 1.2 per cent more for housing


*"Family Income, Expenditures, and Savings in 1950," United States Department of Labor, Bureau of Labor Statistics, Bulletin No. 1097 (Revised) June, 1953








and .1 per cent more for transportation than the
median of the nineteen cities. In none of the major
categories does the difference between Miami and
the median of all nineteen cities exceed two per cent.
Disregarding the averages and taking a closer
look at individual cities, it is true that there is a
considerable difference in certain spending pat-
terns. Total consumer expenditures in Indianapolis
were only $3,678, the lowest of any of the nineteen
cities, while those in Chicago were $4,575, the
highest of the group. Food expenditures in Kansas
City were $1,073, 28.3 per cent of total consumer
expenditures but in Northern New Jersey they were
$1,436, or 31.9 per cent of the total. In housing,
Omaha showed the lowest expenditures with $345
or 9.0 per cent of the total as contrasted with
Boston's cost of $548 or 12.8 per cent. Even larger
is the variance for fuel, light, refrigeration and
water which ranged from a low in San Francisco
of $86 (1.9 per cent) to a high in Boston of $229
(5.3 per cent). In clothing Miami held the bottom
position with $401 (9.7 per cent) while Cleveland
was at the top with $584 (13.1 per cent). Trans-
portation was lowest in Philadelphia where annual
expenditures ran to $431 (10.2 per cent), and
highest in Los Angeles with $754 (17.0 per cent).
Certain limitations in connection with this analy-
sis of consumer spending patterns should be noted.


Even though differences in income levels have been
narrowed as much as possible by selecting for
comparison cities similar to Miami in this respect,
there is still a wide enough range so that some of
the variations in spending are undoubtedly due
to income differences rather than to geographical
or other factors. Moreover, the small samples on
which the Bureau of Labor Statistics based its
figures make it difficult to draw valid conclusions
as to whether or not the samples actually represent
typical income levels in these cities.* For example,
in Miami the wage earners included in the sample
are in a considerably higher income bracket than
those in Birmingham, Atlanta and Louisville. Thus
no comparisons are possible between consumer
spending here and in these other southern cities.
Another difficulty is that wide variations in indi-
vidual items are not apparent when these items are
lumped together in major categories. For instance,
fuel for heat (which is low in Miami) is included
in the same category as light, refrigeration and
water; winter clothing and summer clothing are
combined, etc. Finally, differences in consumer
patterns in different cities would probably have
been greater had we included in the comparison
smaller cities, under 250,000 population. In gen-
eral, consumer expenditures in the five major
categories tend to be relatively higher in large
cities than in smaller ones.


*According to income figures reported in the U. S. Census of 1950, Miami's average income level would appear to be considerably lower than that indicated
by the Department of Labor study. In the census, the median income for Miami families was the lowest of that in any of the 19 cities, whereas in the
Department of Labor study, Miami was about average.


TABLE I
EXPENDITURES OF WAGE-EARNER FAMILIES
FOR SELECTED ITEMS OF CONSUMPTION 1950


Food
Median 19 Cities* $1,264
Miami 1,165


Miami Compared
with Median


- $ 99


Percentage of all
Consumer Expenditures
Median 19 Cities 29.7%


Miami


28.1%


Clothing Housing Utilities(1)
$470 $461 $170


507


-$ 69



11.0%
9.7%


+ $ 146
+$1t6



11.0%
12.2%


120

- $ 50



4.3%
2.9%


* The 19 selected city areas were


Boston
Chicago
Cleveland
Los Angeles


Northern New Jersey
Philadelphia-Camden
San Francisco-Oakland
Minneapolis-St. Paul


Pittsburgh
Cincinnati
Hartford
Kansas City


Omaha, Nebr.
Miami
Indianapolis
St. Louis, Mo.


Transpor-
tation
$565
615


+ $ 50



14.7%
1..8%


Portland, Oregon
Seattle
Youngstown



** In the Miami sample, as well as in some other cities, consumer expenditures exceeded money incomes after taxes dissavingg).
(1) Fuel, light, refrigeration and water.
Source: Bulletin No. 1097 United States Department of Labor, Bureau of Labor Statistics, "Family Income, Expenditures
and Savings in 1950."


Total **
Consumer
Expenditures
$4,145
4,1s

$ 00



100%
10oo%
loO%








FOOD
Among the nineteen cities in the study, Miami
ranks relatively low in annual food expenditures
by wage-earner families. In 1950 total food expen-
ditures for the sample families amounted to $1,165
or 28.1 per cent of the total as contrasted with a
median figure of $1,264 or 29.7 per cent for all
of the nineteen areas. According to the much quoted
Law of Engel, the food expenditure falls as income
rises. Since Miami is fairly representative of the
group as far as wage level is concerned, this factor
should not account for too great a difference in
food consumption. However it must be acknowl-
edged that the relatively high wage position of
Miami, assumed in the sample but not necessarily
real, may inflict a small downward bias on the
relative importance of this item. Another factor
which influences the relative importance of food
expenditures is the size of the city, with larger cities
generally having higher expenditures than smaller
ones. This explains in part why Miami shows lower
food expenditures than most of the larger cities in
the north. It is also a well known fact that family
size influences the absolute and relative position
of the consumer's food budget. While the sample
selection takes this into account, it is still possible
that small differences of this nature within the
sample may have affected the findings.
Despite all these factors, geographic location
remains as the main explanation of the relatively
low consumer expenditure for food in Miami. Per-
sons in similar income levels from other parts of
the South or from the Middle West also appear to
spend less for food than those in New England or
on the West Coast. The study does not reveal to
what extent cost of food or differences in consump-
tion habits are responsible for this tendency.


CLOTHING
Clothing is considered an item in which Miami
consumers are favored because they have no need
for heavy winter apparel. Miami ranks lowest
both absolutely and relatively in clothing expendi-
tures. The wage earner's yearly budget of $401
compares with the $584 high of Cleveland and with
a $470 median for the nineteen city areas. While
the Cleveland wage earner spent a higher propor-
tion of his budget for clothing than a worker in
any of the other cities, 13.1 per cent, this was only
3.4 per cent more than was the case in Miami.
Many students of the problem may be surprised to


find that the cost differential is so low. It is note-
worthy that Minneapolis-St. Paul, Omaha and St.
Louis, cities whose winters could hardly be termed
mild, also have relatively low expenditures for
clothing. Apparently the climatic factor is only
a co-determinant, with social and other factors also
important. While it is true that one can get along
with relatively little clothing in Miami, it also
appears that the average wage earner is not inclined
to take advantage of this chance for austerity.
Wage-earners' families in the $4,000-$5,000 in-
come level still spend 1.9 per cent of total consumer
budgets on women's outerwear as compared with
3.2 per cent in Pittsburgh. For hats, gloves and
accessories, Miami women at this income level
spend about the same or only slightly less than
those in Pittsburgh or St. Louis and a higher
percentage than those in Boston or New York.

HOUSING
With respect to housing, Miami rates higher than
sample communities. The absolute expenditure for
housing, $507 annually, is the fourth highest
among the sample cities and the percentage of the
budget spent for housing, 12.2 per cent, is the
second largest (following Boston). Since the United
States Housing Census of 1950 also shows relatively
high rents and relatively high values of homes for
Miami,* we are justified in assuming that wage
earners here spend relatively high amounts for
shelter, both absolutely and in proportion to their
incomes. Again, several factors account for this
fact, many of them not directly related to the
geographical location or climatic conditions of the
community. There is a certain correlation between
housing expenditure and income. The higher in-
come groups tend to spend more for housing, both
absolutely and relatively, than lower income
groups.
The trend towards home ownership, particularly
single-family homes, also influences the amount
of shelter cost. Miami has a relatively high home
ownership as compared with other areas in its size
class. Another important factor is the average age
of buildings, which is low in Miami. In Miami
79.3 per cent of all dwellings were built after
1930 while the median of 75 other housing areas
is only 49.2 per cent. (See "75 Housing Areas,"
Housing Securities, Inc., New York, 1954) Obvi-
ously Miami wage earners pay higher prices for
shelter but obtain a better quality of shelter for
what they spend than those of the average com-
munity of its size.


* Monthly median gross rent in the standard metropolitan area of Miami was $56.46 in 1950 as compared with a median of $41.50 in 75 metropolitan
areas. Median value of a home in Miami was $9,473 as compared with $7,818 in the median area. (See "75 Housing Areas" by Housing Securities, Inc.,
New York, 1954)










UTILITIES

The cost of fuel, light, refrigeration and water is
a small but not inconsequential item in the average
budget. The Miami wage-earner's average expendi-
ture is only $120 as compared with a high of $229
in Boston, but there are two cities in California
which have still lower expenditures ($86 in San
Francisco and $99 in Los Angeles). Percentage-
wise, Miami's expenditures for utilities take 2.9
per cent of the budget and compare favorably with
a median of 4.3 per cent. It is notable, however,
that in none of the sample cities did spending for
utilities amount to as much as twice the Miami
figure. Factors influencing this item are climate
and cost of fuels, which is in turn affected by vari-
ous other factors such as the availability of natural
gas, the type of operation of utilities and the cli-
matic conditions. Miami's mild winter climate
may be considered responsible for its position at
the low end of the expenditure scale.
With the rapid growth of air conditioning, how-
ever, the situation may be somewhat different today
from that in 1950. The cost of air conditioning
has undoubtedly added somewhat to utility expen-
ditures in Miami and further increases may be
expected in proportion to the ability of the con-
sumer to pay for this extra comfort item.


TRANSPORTATION
In Miami, transportation expenditures rank
higher than in the average city in the sample.


Miami finds itself in the company of other cities
which are spread over a wide area and where living
involves considerable expense in travel from and
to the place of work. Fares for public transporta-
tion are a small factor, but the largest item in
the transportation budget is the expense of an
automobile and total transportation expenditures
are strongly affected by the rate of car ownership.
Philadelphia, for instance, has the smallest trans-
portation expenditure among the sample cities,
despite the large expanse of the city; 7.9 per cent
of the budget is spent on automobile transportation
and 2.3 per cent on other transportation. Other
large cities with good rapid transportation systems
such as New York (not represented in our sample)
and Boston also have relatively low transportation
charges. By contrast, the figures for Los Angeles
are 15.1 per cent for automobile and only 1.9 per
cent for other transportation. It thus appears that,
at least in part, the high transportation expendi-
tures in Miami are due to large car ownership and
relatively small dependence on public transporta-
tion systems.


OTHER
The cost of household operation, housefurnish-
ings and equipment, medical care, recreation etc.
are additional factors which enter into the wage-
earner's budget but they are all relatively small
and differences between Miami and other cities do
not appear significant.


TABLE II
EXPENDITURES OF WAGE-EARNER FAMILIES
FOR SELECTED ITEMS OF CONSUMPTION 1950
MIAMI COMPARED WITH 18 OTHER LARGE CITIES'


FOOD CLOTHING
Amount Per Cent Amount Per Cent
CITY of Total of Total
Chicago $1,376 30.1% $535 11.7%
Northern New Jersey 1,436 31.9 514 11.4
Cleveland 1,276 28.5 589 13.1
Los Angeles 1,303 29.3 455 10.2
San Francisco-Oakland 1,316 29.7 479 10.8
Seattle 1,264 28.6 488 11.0
Hartford 1,329 30.8 481 11.1
Boston 1,352 31.5 470 10.9
Philadelphia-Camden 1,367 32.5 499 11.9
MIAMI 1,165 28.1 401 9.7
Pittsburgh 1,317 32.1 495 12.1
Portland, Oregon 1,14 27.9 427 10.C
Minneapolis-St.Paul 1,141 28.3 404 10.0
Youngstown 1,142 28.7 511 12.8
Omaha 1,252 32.8 418 10.9
Kansas City,Missouri 1,073 28.3 453 11.9
St. Louis 1,207 31.9 413 10.9
Cincinnati 1,147 30.5 405 10.7
Indianapolis 1,084 29.5 429 11.7


Mean 1,247 30.1
Median 1,264 29.7
(1) Fuel. light. refrigeration and water.


466 11.2
470 11.0


HOUSING
Amount Per Cent
of Total
$539 11.8%
497 11.0
491 11.0
495 11.1
521 11.8
389 8.8
477 11.0
548 12.8
437 10.4
507 12.2
450 11.0
421 10.3
464 11.5
h28 10.8
315 9.0
461 12.1
l01 10.6
390 10.3
371 10.1

454 10.9
461 11.0


UTILITIES (1)
Amount Per Cent
of Total
0149 3.3%
199 4.4
155 3.5
99 2.2
86 1.9
192 4.3
214 4.9
229 5.3
190 4.5
120 2.9
152 3.7
194 4.7
188 4.7
170 4.3
174 4.5
130 3.4
159 4.1
126 3.3
170 4.6
163 3.9


TRANSPORTATION
Amount Per Cent
of Total
$63L 13.8%
561 12.5
657 14.7
759 17.0
656 14.8
732 16.6
532 12.3
464 10.9
431 10.2
615 14.8
522 12.7
753 18.
617 15.3
565 14.1
547 14.3
557 14.7
489 12.9
630 16.7
564 15.4
594 14.3


170 4.3 565 14.7


Source: Bulletin No. 1097 United States Department of Labor, Bureau of Labor Statistics,

4


"Family Income, Expenditures and Savings in 1950."


TOTAL CONSUMER
EXPENDITURES
$,575
4,502
4,473
4,452
4,426
4,426
4,319
9,301
4,200
4,145
9,107
4,097
4,029
3,978
3,827
3,797
3,783
3,779
3,678
4,152










AVERAGE EXPENDITURES OF WAGE-EARNER FAMILIES


FOR 19 SELECTED CITIES

1950


FOOD


HOUSING


NORTHERN NEW JERSEY
CHICAGO
PHILADELPHIA -CAMDEN
BOSTON
HARTFORD
PITTSBURGH
SANFRANCISCO OAKLAND
LOS ANGELES
CLEVELAND
SEATTLE
OMAHA
ST LOUIS
MIAMI
CINCINNATI
PORTLAND
YOUNGSTOWN
MINNEAPOLIS -ST. PAUL
INDIANAPOLIS
KANSAS CITY


BOSTON
CHICAGO
SANFRANCISCO OAKLAND
MIAMI
NORTHERN NEW JERSEY
LOS ANGELES
CLEVELAND
HARTFORD
MINNEAPOLIS- ST. PAUL
KANSAS CITY
PITTSBURGH
PHILADELPHIA -CAMDEN
YOUNGSTOWN
PORTLAND
ST. LOUIS
CINCINNATI
SEATTLE
INDIANAPOLIS
OMAHA


1
I
Illl iliii llii liiiiii iii~iisiiiff[la iB~ lliiii ]




i :ii I'i'i l ,ii i : l :'i : lsiaimR
I




Ili Slil/liiitllf/-^i~iii/ii[[i illil il l
[I
I








200 400 600
lll~ll lllllllll l' _lll''llllllll!llT llllW
,,' ,' :T


CLOTHING


TRANSPORTATION


CLEVELAND
CHICAGO
NORTHERN NEW JERSEY
YOUNGSTOWN
PHILADELPHIA CAMDEN
PITTSBURGH
SEATTLE
HARTFORD
SANFRANCISCO- OAKLAND
BOSTON
LOS ANGELES
KANSAS CITY
INDIANAPOLIS
PORTLAND
OMAHA
ST. LOUIS
CINCINNATI
MINNEAPOLIS- ST. PAUL
MIAMI


Sources See page 4 &


LOS ANGELES
PORTLAND
SEATTLE
CLEVELAND
SANFRANCISCO OAKLAND
CHICAGO
CINCINNATI
MINNEAPOLIS ST. PAUL
MIAMI
YOUNGSTOWN
INDIANAPOLIS
NORTHERN NEW JERSEY
KANSAS CITY
OMAHA
HARTFORD
PITTSBURGH
ST LOUIS
BOSTON
PHILADELPHIA- CAMDEN


0 -7

lIll0 n 018 t 1 411 0 6001011!!.I~III
,I I










I ii0i 00ll0aiBi0a0B


I I5
. 500


I--

1
1,000 1,500


jI


0 0 400 6(









GENERAL BUSINESS INDICATORS


MIAMI METROPOLITAN AREA


1949 = 100


POSTAL CANCELLATIONS
200
zoo -------- -- -- _____---


180 --


160 -

12 MONTHS
140-- E IED


120 I


100





60-

46 47 48 49 1950 1951 1952 1953 1954 1955

ELECTRICITY SALES
280


280


260


240


220


200


180


160 -~---------------





120 ------








60
-ll
rl O0


12 MONTHS
ENDED


4 I i


46 47 48 49 1950 1951 1952 1953

POSTAL CANCELLATIONS
Thousands 19149-100
1946 109,648 71.9
1947 123,304 80.9
1948 136,631 89.6
1949 152,418 100.0
1950 155,922 102.3
1951 173,833 114.1
1952 192,218 126.1
1953 207,889 136.4
1954 221,164 145.1
12 months ended
Jan. 1955 222,667 146.1
Feb. 224,482 2 147.M
Mar. 226,016 148.3
source: Zee page 9


1954 1955
GASOLINE SAIES
Thousands
of Gallons 1949.100
88,565 71.8
104,848 85.0
115,335 93.6
123,286 100.0
142,436 115.5
153,001 124.1
170,323 138.2
185,769 150.7
204,497 165.9
206,316 167.14
207,627 168.4


GASOLINE SALES


46 47 48 49 1950 1951 1952 1953 1954 1955


PASSENGER AIRPLANE TRAFFIC


46 47 48 49 1950 1951 1952 1953 1954 I
PASSENGER
ECTRICITY SAS AIRPLANE TRAFFIC
Thousands Thousands of
of KWH 19L49-100 Passengers .90loo
417,535 60.9 1,062 101.2
484,424 70.7 1,0o4 99.5
583,497 85.2 959 91.4
685,07.3 100.0 1,0l9 100.0
780,295 113.9 1,387 132.2
942,756 137.6 1,655 157.7
1,098,996 160.4 1,856 176.9
1,283,478 187.3 2,142 2014.1
1,463,725 213.7 2,536 241.7
1,480,487 216.1 2,599 247.7
1,504,321 219.6 2,650 259.6
1,527,103 222.9


NUMBER OF TELEPHONES IN SERVICE


I


12 MONTHS
ENDED


II


. . I i !


EMPLOYMENT NON AGRICULTURAL


49 1950 1951 1952 1953 1954 1955


LONG DISTANCE TELEPHONE CALLS


BANK DEBITS


49 1950 1951 1952 1953 1954 1955 46 47 48 49 190 1951 1952 15
46 47 48 49 1950 1951 1952 1 1954 195
lUMBER TELEPHONES I)ONG DISTANCE BANK DEBITS
IN SERVICE EMPIOIMEIT TELEPIDS CALLS*
(Non-A tral) Millons
Average 199.100 Average 1949-100 Aerage 1949.100 of Dollars 1949=100
1946 3,31 80.8
1947 131,500 91.4 3,578 87.2
1948 141,000 100.1 4,159 101.4
1949 169,515 100.0 143,900 100.0 13,643 100.0 4,101 100.0
1950 188,619 111.3 156,650 108.9 13,530 99.2 4,926 120.1
1951 210,592 124.2 168,350 117.0 15,940 116.8 5,778 140.9
1952 232,457 137.1 180,900 125.7 18,219 133.5 6,315 154.0
1953 254,910 150.1 196,200 136.3 20,316 148.9 7,017 171.1
1954 279,120 164.7 211,450 146.9 22,935 168.1 8,167 199.1
12 months ended
Jan. 1955 281,667 166.2 212,800 147.9 23,439 171.8 8,345 203.5
Feb. 284,276 167.7 211,200 148.8 23,995 175.9 8,470 206.5
Mar. 286,791 169.2 215,500 149.8 24,472p 179.4p 8,622 210.2
-Lon distance telephone oalls through the Misam Toll Center, Southern Be elTelephone and Telegraph Company. Average of ten high days of month. p Prelminary

7


-r-


20011


1111h1111








BUSINESS IN GREATER MIAMI
First Quarter of 1955


Business in Miami so far this year has continued
at an accelerated pace with year to year gains
substantially greater than those a year ago. The
recession experienced by the nation as a whole
during the early part of 1954 was hardly apparent
in Miami and now that business generally has again
turned upward, the growth in this area appears
stronger than ever. The few unfavorable trends
noted a year ago (rising unemployment, a lag in
retail sales, pressure on hotel rates as a result of
the greater number of accommodations, some
increase in apartment house vacancies) have now
been reversed and there is no major section of the
economy which is not participating in the current
rise.
Population increase, as reflected in school
enrollment and in the number of residential cus-
tomers for electric and telephone service, was 6 to
12 per cent over the first quarter of 1954. Total
non-agricultural employment in the first quarter
was up about 8 per cent and manufacturing employ-
ment alone was up over 16 per cent. Unemploy-
ment has been declining since last October and is
now lower than a year ago. Retail sales for the
first two months of this year, as measured by sales
tax collections, were running 11 per cent higher
than for January and February of 1954, while
department store sales were up 25 per cent during
this same period (due in part to the new Sears Roe-
buck store in Coral Gables). Preliminary figures
for March show department store sales continuing
to run far ahead of those a year ago.
Miami enjoyed an unusually prosperous tourist
season this past winter. The number of visitors in
the area again set a new record and despite the
increase in accommodations, occupancy and rate
schedules for hotels and motels were well main-
tained. The apartment occupancy survey which we
conducted in February showed a vacancy ratio in
the Miami Beach area of only 2.9 per cent as com-
pared with 5.1 per cent a year ago. In Miami
proper, the apartment vacancy rate was only 1.3
per cent as against 1.7 per cent in February, 1954.
General business activity as reflected by such
indicators as postal cancellations and gasoline
sales, continues to show a steady 8 to 9 per cent
rise over the previous year. Bank debits, electricity
sales and passenger airplane traffic, among the
fastest growing of our business indices, were up
18 to 23 per cent over the first quarter of 1954,
an even sharper rise than that shown during the
year 1954. Long distance telephone calls, in the
past one of the most sensitive barometers of Miami


business, were about 20 per cent higher in the
first three months of 1955 than in the like period
of 1954, despite the telephone strike this spring.
Building activity in the first three months of
1955 showed a tremendous jump over a year ago
with the value of building permits amounting to
$72,060,000, a new record and 46 per cent higher
than in the like 1954 period. This has been due
in part to several major store and hotel projects
but it has also been the result of a sharp increase
in home building. Apartment house construction
still lags but the number of one- and two-family
dwellings started was about 60 per cent higher
than in the first quarter of 1954. The real estate
market has been very active with the value of real
estate transfers up 35 per cent. The value of
recorded mortgages has risen even faster, up 43
per cent in the same period.
In this connection, it is interesting to note a
trend that has been in evidence for some months,
namely, that the number of mortgages filed has
been rising faster than the number of real estate
transfers or the number of new dwellings con-
structed. In 1953 the number of mortgage record-
ings was about equal to that of transfers, but since
then it has increased abruptly and the spread be-
tween mortgages and property transfers is still
widening. Residential building has kept a fairly
even pace since 1948, much more in line with the
trend of property transfers than with that of mort-
gages placed. The value of building permits, which
also includes commercial building, has increased
substantially in the last five years but again mort-
gage values have increased at a much faster rate.
Building permit value for the last 12 months was
roughly 50 per cent above the 1947-50 average
but the value of mortgages placed was almost
double. No doubt extension of commercial build-
ing has had its part in this trend but a rising
indebtedness of home owners supplies a fuller
explanation.
Asking prices for homes are up from three
months ago throughout the Miami area, except in
the northwest section. This is partly a seasonal
factor although the increase has now carried the
index to a point slightly above the level of a year
ago. For February-March the average asking price
for homes in the greater Miami area stood at 93.3
as compared with 89.7 in November-December
1954 and 92.6 in February-March 1954. The rise
in the index reflects primarily increased activity
in newer, higher cost homes. The market for older
homes has tended to be weaker.










BUSINESS STATISTICS
Greater Miami Area


1955


Per Cent Change


Jan.


Bank Debits to Individual Accounts ($1,000)
Postal Cancellations (1,000)
Gasoline Sales (1,000 gal.)
Electricity Sales (1,000 kwh)
Number Residential Customers of Electricity
Number Telephones in Service (end of mo.)
Index Dept. Store Sales (adjusted for
seasonal variations-1947-1949 = 100)
Sales Tax Collections ($1,000)
Employment (total non-agricultural)
Unemployment
School Enrollment (end ofnmo.)
Passenger Arrivals and Departures-
International Airport
Value of Building Permits Issued ($1,000)
Number of Dwelling Units Started:
Total
I & 2-Family Units
Apartment Units
Value of Warranty Deeds Recorded ($1,000)
Value of Mortgages Filed ($1,000)
Value of Real Estate Sales:
Miami Beach ($1,000)
Coral Gables ($1,000)


$858,588
19,963
19,1414
138,875
216,603
301,249

153
$ 2,147
234,550
11,400
101,881

305,057
0 20,012


1,628
1,)68
160
35,162
36,854


$ 5,500
$ 2,157


Feb.


$802,745
20,750
19,685
137,086
220,037
303,708

148p
$ 2,379
235,700
11,100
102,735

310,894
$ 25,619


1,1408
1,202
206
37,386
37,048

2,466
2,221


Mar.

$951,521
22,019
N.A.
141,185
221,900
303,879

N.A.
N.A.
232,450
9,900
102,153

N.A.
$ 26,429


1,861
1,609
252
47,876
45,708

5,038
2,880


1954
from
1953
+ 16.6
+ 6.4
+ 10.1
+ 140.
+ 7.4
+ 9.5


6.8
7.0
7.7
31.0
11.6


+ 18.4
+ 10.5


8.1
2.7
33.5
10.9
15.2


1st Q 1955
from
1st Q 1954
+ 21.1
* 8.1
+ 8.7*
+ 17.9
+ 6.6
+ 11.3


25.0*
11.3*
7.6
2.4
12.0


+ 22.8*
+ 46.4


41.6
58.0
17.7
35.2
43.3


3.6 + 2.2
8.3 + 25.5


Item
Bank Debits ........-----.- ------....... -
Postal Cancellations ...........--.....---
Gasoline Sales ---..-...........-----
Electricity Sales ---------- ---------
Number Residential Customers of
Number Telephones in Service
Index Department Store Sales ....
Sales Tax Collections ..-..-.....--
Employment ....-.....---- -------
Unemployment --------.---- ..-------........
School Enrollment ..-.-------.-- -...
Passenger Arrivals and Departure
Value of Building Permits ....--.....-
Number of Dwelling Units Started
Value of Warranty Deeds Recorde
Value of Mortgages Filed -..---
Value of Real Estate Sales Mi
Value of Real Estate Sales Co


Source
.....Greater Miami


Clearing House Association .....


Post Office, Miami --....~........-------------...


---...-....... --- Florida State Department of Agriculture -....-
-.-.....-----------. Florida Power and Light Company ----.----
Electricity ..----Florida Power and Light Company --------
-.....---~.. -. Southern Bell Telephone and Telegraph Compar
.--...-....--... ... Federal Reserve Bank of Atlanta .....---- ..-
-.....-..-............ Comptroller, State of Florida ---...... ---....... .........
--............-----... Florida State Employment Service -..--......- .......
- -....... ---.---... Florida State Employment Service ------......-
--........-- ......... Dade County School Board ............-------..... --
s --...--......--- Dade County Port Authority --...... ..... ......-------
---......-- Building Permits Filed-22 communities ----....
.-----............ -- Building Permits Filed-22 communities ..----...
ed .----....... ..--. Clerk of Circuit Court, Dade County ......
.--.... ---. First Federal Savings and Loan Association -..-.
ami Beach .......Miami Beach Board of Realtors .-...............-
ral Gables .....Coral Gables Realty Board -.......-...-.......-


Area Covered
...- All Dade County banks reporting to Federal
Reserve Bank of Atlanta
..--All Dade County post offices except Hialeah,
Miami Springs, North Miami & Homestead
...Dade County
--- Dade County
.-- ade County
ly.. Dade County
Miami Metropolitan Area
---.. Dade County
...-- Dade County
SDade County
.--- Dade County
-... Miami International Airport
.--- Dade County -- 22 communities
..--. Dade County 22 communities
.--.- Dade County
--. Dade County
...Miami Beach
...Coral Gables


* First 2 months of 1955 compared with corresponding period in.1954
p Preliminary


1955


--------------------












BUILDING ACTIVITY

DADE COUNTY


VALUE OF BUILDING PERMITS


NUMBER OF DWELLING UNITS STARTED


48 49 0 52 5 54 J F M A M J J A S N D
48 49 50 51 52 53 54 J F1M A M J J A S ON D


VALUE OF BUILDING PERMITS
(000)


Mami Coral Other Unin-
Beach Hialeah Gable Incorp. orp

$25,517 $l,li97 $9,814 $20,662 $35,.05
18,662 7,601 8,367 31,01.6 36,222
26,863 9,959 11,363 12,339 55,.79
26,987 6,239 1.,779 33,279 12,0714
13,960 16,257 9,872 38,088 57,326
17,919 18,971 15,063 35,525 72,862
18,1.6 15,372 16,41514 38,311 89,059


1,,53 1,371 1,967
568 656 1,099
519 2,251 1,166
1,007 941 691
1,415 1,921 927
2,723 1,150 1,312
1,691 1,271 1,575
1,156 1,399 874
916 667 928
2,188 1,5714 1,295
891 690 1,038
1475 1,.78 3,582

350 1,120 1,0411
3,921 1,650 1,118
1,690 1,615 1,316


2,.83 6,229
2,380 3,801
2,.23 7,257
1,912 5,822
2,159 12,089
3,220 6,988
5,666 9,6814
2,1.53 5,591.
1,790 5,629
3,957 10,772
1,368 9,i30
2,300 5,761

3,117 10,818
2,635 9,319
3,115 11,715


Dade
County

$151,7147
115,7148
191.,581
161,681
171,,525
201,986
226,4191

19,712
11,501
18,005
11,1.5
23,657
20,065
23,730
16,297
16,122
214,48
21,2014
17,605

20,012
25,619
26,129


48 49 50 51 52 53 54 J F MA M J J A S O N D


NUMBER OF SMELLING UNITS STARTED


1 & 2
1&2
anaily
Units

9,805
12,238
15,605
8,763
12,262
12,266
12,593

736
725
1,2147
94.9
1,534
1,01o
991
771
9041
1,592
1,207
923

1,.68
1,202
1,609


Total
Apt. Dill
Unit Unit.

.,618 lh,l23
.,503 16,741
3,657 19,262
1,659 13,1o02
3,369 15,631
5,228 17,419.
3,1476 16,069

166 902
267 992
318 1,565
293 1,2412
134 1,968
273 1,287
3149 1,310
268 1,039
183 1,087
291 1,883
5oo 1,707
131 1,057


Source: Building Inspectors, 22 Dade County Comunuties. Figures prior to 1950 exclude Homestead.


MILLIONS
OF
DOLLARS


Mtami

19.8 $56,182
1919 .3,850
1950 18,578
1951 38,323
1952 39,022
1953 1.,613
1951. 4.9,019
1951
Jan. 3,125
Feb. 2,997
mar. 41,359
Apr. 3,7.2
May 5,1.6
June 4,672
July 3,813
Aug. 1,821
Sept. 3,162
Oct. .,362
Nov. L,7814
Dec. 1i,006

1955
Jan. 3,566
Feb. 6,976
Mar. 3,918











REAL ESTATE ACTIVITY


DADE COUNTY






NUMBER OF MORTGAGE AND WARRANTY DEEDS FILED


WARiRANU DEEDS


THOUSANDS


Source: See page 9


Number

1940 15,729
1941 15,316
1942 9,805
1943 15,834
1944 21,769
1945 28,146
1946 38,555
1947 32,551
1948 29,271
1949 26,409
1950 33,299
1951 28,855
1952 32,118
1953 33,348
1954 32,537
12 months ended
Jan. 1955 32,961
Feb. 33,426
March 34,127


1940
1941
1942
1943
1944
1945
1946
19147
1948
1949
1950
1951
1952
1953
1954
12 months ended
Jan.1955
Feb.
Mar.


Number

11,209
9,243
4,217
6,354
8,970
11,749
16,345
19,999
18,800
22,474
30,279
25,858
30,903
32,996
36,293

36,880
37,598
38,507


ASKING PRICE INDEX
1947 48 100


4748 49 50 51 52 1953 1954 1955


N. E. Combined

N. W. Furnished
Unfurnished
S. W. Furnished
Unfurnished

Miami Beach Combined

Coral Gables Combined

Miami Metropolitan Area
Weighted Average


ASKING PRICE INDEX FOR HOMES
GREATER MIAMI AREA

Feb. March 1955 Per Cent Change

Average Index Year 3 Months
Price 1947-48-100 Ago Ago

$12,147 90.5 + 2.0 + 10.8

10,210 88.5 7.9 4.1
9,857 96.9 3.7 + 0.1
11,968 90.8 + 4.3 + 8.7
11,661 102.5 + 5.9 + 5.7
26,109 86.2 + 5.6 + 5.5

20,754 105.2 + 3.3 + 2.4

12,718 93.3 + 0.7 4.0


Source: Bureau of Business and Economic Research, University of Miami.

Note: Annual averages are computed from the advertised asking prices for CBS homes in 16 Sunday papers during the year. In Miami Beach and Coral Gables only 2 or 3
bedroom, 2 bath homes were included in the sample; in all other sections, 2 or 3 bedroom, 1 bath homes were used. Combined means furnished and unfurnished. To
obtain the weighted average for the Miami Metropolitan Area, Northeast combined, Northwest furnished and Northwest unfurnished were each given a weight of 3, South-
west finished and Southwest unfurnished were each given a weight of 2 and Miami Beach and Coral Gables were each given a weight of 1.

11


Value

$ 50,479
45,512
31,556
65,078
133,650
166,172
257,710
197,936
218,681
206,916
282,704
313,964
337,225
371,701
412,302

422,243
428,624
443,679


Value per
Deed

$ 3,209
2,972
3,218
4,110
6,139
5,903
6,684
6,081
7,472
7,834
8,490
10,879
10,500
11,146
12,672

12,810
12,823
13,001


MORTGAGE DEEDS


Value

$ 53,520
51,591
20,653
37,510
66,769
814,Lh5
139,257
182,031
158,999
187,246
287,912
251,535
297,794
329,l11
379,627

394,177
401,134
415,791


Value per
Deed

$ 4,775
5,906
4,898
5,903
7,4A4
7,162
8,520
9,102
8,456
8,331
9,510
9,727
9,636
9,982
10,460

10,688
10,669
10,798












Index
MIAMI ECONOMIC RESEARCH
(Formerly Miami Residential Research)
1948 1955


SUMMARIES OF ECONOMIC ACTIVITY AND GROWTH TRENDS

May 1949 The Postwar Seasonal Cycle in Miami

January 1951 Banner Tear Closes

January 1952 Miami's Economy in 1951

July 1952 Miami Business

October 1952 Miami Business

February 1953 Miami Business in 1952

January 1954 Miami Business in Winter 1953

April 1954 Business in Greater Miami, First
Quarter of 1951

July 1954 Business in Greater Miami, Second
Quarter of 1954

October 1954 Business in Greater Miami, Third
Quarter of 1954

January 1955 Growth Trends in Greater Miami

April 1955 Business in Greater Miami, First
Quarter of 1955

POPULATION AND HOUSING INVENTORIES AND TRENDS

June 1948 New Growth Pattern Established

December 1948 The Outlook for the Home Building
Industry in 1949

January 1949 The Residential Market of Miami
194o-1948

July 1949 Vacant Dwellings in the Miami Area

August 1949 Single Homes Versus Apartments

September 1949 Too Many Economy Hones?

October 1949 Distribution of Households and
Population, 1930-1940-1949

November 1949 The Greater Miami Housing Inventory

May 1950 Housing Trends Inside Dade County

June 1950 The 1950 Housing Census

September 1950 Apartments Versus Homes

April 1951 Dwelling Inventory of Dade County

May 1951 Negro Housing in Dade County

July 1951 The Census Count of Substandard and
Dilapidated Dwellings

August 1951 Miami Leads National Home Ownership
Trend

October 1952 Residential Growth of the Greater
Miami Area Since 1950

October 1953 Population Trends in the State of
Florida 1950-1953

July 1954 Growth of Population and Housing in
Dade County Since 1950

BUILDING AND REAL ESTATE ACTIVITY

July 1948 The 1948 Building Trend

August 1948 The Long Range Trend

September 1948 Miami Leads in Residential Building

October 1948 Building in Miami and in the U.S.

December 1948 The Outlook for the Home Building
Industry in 1949

January 1949 The Tear of 1948 Has Chalked Up
Another Amazing Record for the Home
Building Industry of Greater Miami

May 1949 Building Activity Compared,
United States-Miami

June 1949 Real Estate Activity and Home Building

September 1949 Too Many Economy Homes?

December 1949 Trends in the Miami Real Estate Market

March 1950 The Trend in Rome Building


Volume 2, No. 2

Volume 4, No. 1

Volume 5, No. 1

Volume 5, No. 3

Volume 5, No. h4

Volume 6, No. 1

Volume 7, No. 1


Volume 7, No. 2


Volume 7, No. 3


Volume 7, No. 4

Volume 8, No. 1


Volume 8, No. 2


Bulletin No. 2*


Bulletin No. 8


Bulletin No. 9*

Volume 2, No. 1

Volume 2, No. 5

Volume 2,.No. 6


Volume 2, No. 7

Volume 2, No. 8

Volume 3, No. 3

Volume 3, No. 4

Volume 3, No. 7

Volume 4, No. 4

Volume 4, No. 5


Volume 4, No. 7


Volume 4, No. 8


Volume 5, No. h4


Volume 6, No. 3


Volume 7, No. 3


Bulletin No. 3

Bulletin No. 4

Bulletin No. 5

Bulletin No. 6


Bulletin No. 8



Bulletin No. 9*


Volume 2, No. 2

Volume 2, No. 3

Volume 2, No. 6

Volume 2, No. 9

Volume 3, No. 1


April 1950 The Goverment's Role in the Postwar
Miami Housing Boom

May 1950 Housing Trends Inside Dade County

June 1950 Characteristics of Postwar Building
in the Miami Area

July 1950 Building in the Defense Economy

September 1950 Miami Maintains Its Lead

November 1950 Effects of the Hurricane on Postwar
Building

February 1951 County Area Leads 1950 Building

February 1951 The 1950 Residential Construction
Pattern

April 1951 Building Outlook for 1951

July 1951 Prospects of Home Building Through
the Fall

October 1951 The Year After Korea

April 1952 Progress in Residential Building

October 1952 Residential Growth of the Greater Miami
Area Since 1950

April 1954 Residential Growth of Metropolitan
Areas, 1953


HOUSING PRICES

November 1948



April

June

November

March

May

August

August


November 1950

March 1951

June 1951

September 1951

December 1951

April 1952

LAND PROBLEMS


Price Movements of Housing in Miami,
1940-1948

Home Prices Recede from Peak Levels

Spring Prices of Homes

Home Prices Continue Downward Trend

Home Prices Continue Down

Home Prices Move Upward

Home Prices Rise

Explanation of the Price Index for
Homes

Home Prices Continue Upward

Home Prices Climb

Home Prices Rise

Price Trend Checked

Home Prices Increasing

Miami Home Prices Decline


January 1954 The Urban Land Problem of the Greater
Miami Area

April 1954 Analysis of Acreage Transactions in
Dade County, July 1953-February 1954


Volume 3, No. 2

Volume 3, No. 3


Volume 3, No. 4

Volume 3, No. 5

Volume 3, No. 7


Volume 3, No. 8*

Volume 4, No. 2


Volume 4, No. 2

Volume 4, No. 4


Volume 4, No. 7

Volume 4, No. 10

Volume 5, No. 2*


Volume 5, No. 4


Volume 7, No. 2



Bulletin No. 7

Volume 2, No. 1

Volume 2, No. 3

Volume 2, No. 8

Volume 3, No. 1

Volume 3, No. 3

Volume 3, No. 6


Volume 3, No. 6

Volume 3, No. 8*

Volume 4, No. 3

Volume 4, No. 6

Volume 4, No. 9

Volume 4, No. 12

Volume 5, No. 2*




Volume 7, No. 1*


Volume 7, No. 2


STATISTICAL METHODDIDIG

July 1950 Explanation of Business Charts Volume 3, No. 5

August 1950 Explanation of the Price Index for Homes Volume 3, No. 6

SPECIAL PHASES OF THE SOUTH FDRIDA ECONOM

November 1948 Union Wage Scales--Miami Compared with
Other Cities Bulletin No. 7

December 1949 Main Shopping Areas in Greater Miami Volume 2, No. 9

November 1951 Shopping Areas of Greater Miami Volume 4, No. U1

May 1953 The Hotel and Vacation Index of
South Florida Volume 6, No. 2*

October 1954 The Florida Keys--A Demographic and
Economic Appraisal Volume 7, No. 4

April 1955 Consumer Spending Patterns in Miami Volume 8, No. 2


-Out of Print


April 1955




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