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Page: of 8

\ aneicemell
The Nugget is delivered to
_ your home twice a week
for only 30 cents ‘per
~ month
“God grants liberty only to those who love it, and are sity to guard and defend ‘it.’
Nevada City Nu
COVERS. RICHEST GOLD . AREA IN oa ORNIA __ i
NEVADA — LIBRARY NEVADA cf
u
”—Daniel Webster
Bs
This paper gives a
coverage of all oes
Nol. 18, 8, No. ior The Cobia Seat Paper
NEVADA CITY, CALIFORNIA
Business and Fi feanicani OLD TIME MINE
Ti Goid Center
a atone Recon
No lidise of The Nogose
Monday
The Nevada City Nugget will not
appear. next Monday, January 1,
1945, a holiday. All business houses! '
and public offices will be. closed on
that day and the N staff will
join with the rest of © community . &
DISTINGUISHED
SERVICE CROSS
Outlook For 1945, WITH NEW LIFE
By ROGER W. BABSON
GENERAL BUSINESS
1—A year. ago the United States
Babson¢hart Index of the Physical
Volume of Business registered 148.
6; today it registers 138. justifying
my forecast of a year ago. The Canadian Babsonchhart Index of the
Physical Volume of Business registered 206.9 a year ago: today it registers 197. 1945 will show a reduc;
tion of more than 16% both in United States and Canadian — business.
Furthermore,” most of the following
comments apply to both countries.
i 2—War production is already being cut back and this reduction will
rapidly continue through 1945. Bven
‘those railroads and industries which
expect to benefit from a long war
with Japan will be disappointed.
_. 3—The re-conversion of industry
(from war to peace business will increase during every month of 1945.
Furthermore, time required for reconversion will not be as great as
most people believe.
4—Inventories quoted at their
price values, rather than vohinies,
will continue, as a whole during
1945 about as during 1944. Raw materials piles will be larger, but manufactured goods will be smaller.
-6—Population " “iiicréases in the
United States during 1945 will be
about 700,000 but’ the bith of new
babies will fall off somewhat.
RETAIL COMMODITY PRICES
6—Rationing will continue thru
the most of 1945. During the early
“part of the: year, I expect to see further restrictions especially in connection with meéats, canned goods.
7—The retail prices of most necessities and some luxuries will be
higher during “y945 than at present.
The prices of ‘some of the luxuries,
such as furs, have already collapsed.
_ 848teel prices. of goods ‘needed
for peace time manufacture should
bea little higher, but prices of the
heavy war goods will decline. This
applies also to the heavy chemicals.
> $—'The: wholesale prices of raw
Materials in general may decline
-*@uring 1945, but most consumer
“goods will hola firm or sellat high_ @t prices. For both basoline and bi‘‘taminous coal, there may be price
' concessions. tes :
ve _10—The great question mark of
» 1945 will be how, to whom and at
4 What price the government will dis“+ Doge of its billions of: dollars worth
_ of unneeded supplies.
a FAEM OUTLOOK
, 11—The weather will be the great08 factor . in farm production and
ces during 1945. The weather has
ren exceptionally good on the whole
it the past few years; but sooner
later we will have a severe
ought or an early freeze.
12—-Pending a weather .upset,
ore bushels of corn and wheat and
ore bales of cotton will be raised
. 1945, than ever before on our his5 Although some prices may slide’
wit, the total farm income for the
first half of 1945 should hold up.
»13—tThere should be a 15% delike in hog slaughter and a 5% inTease in cattle slaughter.
14—Dairy products will continue
© increase both in volume and in
Price. Fam forecasting at least a 3
-% vise in volume.’
& 15—Fgrmers . will ake in 1945
to work again for legislation on the
Partial program due to fear of a collapse inall farm prices after the
16 —Taxes will not be iner
during 1946 ana some will be Te_ @uced; in fact, some nuisance taxes
“will be eliminated altogether.
17—The fedeeral debt will continue to increase aes 945. ?
. THUMBNAIL OUTLOOK
FOR 1945
Look for these developments:—
Farmers’ cash income will aproximate that of 1944, which was $20
billions. Both bituminous and anthracite mining will run 5% below
a year ago. Petroleum output will
be upped 5%. Iron and steel will decline 10%. A similar drop is in
prospect for chemical manufactures.
Lumber output will increase 5%.
The paper and shoe industries will
run along on the same levels as during 1944. Industrial © employment
will be 7 % less and factory pay rolls
will dec
% from the
low levels of 1944's first
Look for a sharp drop in retail
WASHINGTON, (Nevada County)
Dec. 28—iNew life is surging through
the shady streets of Washington on
the South Fork of the Yuba, with
the construction of a sawmill just
across from this old time mining
town. 4
Twenty men are now engaged in
erecting the frame work of the mill
and their fathilies have moved into
the long vacant houses of the /yillage. The Pacific Gas and Electric
Company has introduced electric gervice by running power lines down
from the upper Spanish Mine. Electricity is not altogether new to the
town, for the Washington Hotel was
formerly lighted with electricity
from a water. wheel plant installed
Many years ago. But soon electric
lamps will replaee gasoline, ‘kerosene
-. and other iluminants that residents .
genefally have used.
trade, especially in luxury lines. Electric power output will be reduced 5
% as war contracts. are cut back.
For basically the same : reason rail-.
read freight ton mileage. will fall’
15%.
es, the cost of living will continue to
rise during 1945.
soldiers will be thes big political
football for 1945. I am not now prepared to forecast what! will happen
in this connection.
20—Through a coalition of republicans and consevative democrats
we should have a do nothing congress during 1945.
. RETAIL SALES
21-—The volume retail sales will
show a decline during 1945. Prices
of ladies’ apparel and general luxuries wil suffer, while grocery sales
shoutd be higher. /
22—"The total dollar retail sales
should be about equal to 1944 with
an inereased demand for woolen and
coton textiles for civilian ‘use.
23—The best cities for 1945, business should be: Altoona, Pa. New.
York, N. Y., Cleveland, Ohio, Davenport, Iowa, San Jose, Calif., Wichita,
Kansas. ‘
24—There: willbe a great stampede in 1945 to get rid of the make
shift ersatz goods which have been:
Made to take the place of good merchandise. Thus, 1945 will witness
many mark-down sales of unrationed merchandise.
25-——Wige: will be those manufae-.
turers, mer¢hants and consumers
who realize that post war competition will ‘be terrific and, therefore
withhold -purchases until 1946,
FOREIGN TRADE ,
26—The United States will own
over 50% of the workd’ 8 ships in
1945.
27—There will be an increase in
free exports with the freed countries, but lend lease exports will decline.
28—We will make England and
Russia large post war’ loans provided they spend the money in United States.
29——Both the British saat and
Russia will go into the competitive
foreign trade market during 1945;
many cartels and government monopolies will be in operation. I, there
fore, forecast higher prices for coffee, cocoa, sugar and many other
articles, for which we are absolutely
depengent upon foreign countries.
30—No central bank will be organized nor will. be stabilization of
foreign surrencies be atomic. in
1945.
LABOR
. 31—7Dhe little steel formula will
be amended during. 1945.
' 32—Industrial employment during 1945 will be off 7% in hours and
. off 10% in pay rolls.
19——Previding jebs: for returning}:
Ranger Paul Case discussing this
resurgence of modern civilization in
‘the picturesque old mining town, said
yesterday that when the State Box
Company of Sacramento begins saw‘ing in farnest with a capacity. of 35000 board feet daily. Washington
shetild e
ity.
‘The’ mill Will be operated by thé
Tahoe Sugar Pine. Company, underBox Company. William Stevenson is
manager of the enterprise. Several
months. ago the State Box Company
purchased the Tahoe ‘Sugar Combany’s mill at Graniteville, _ Nevada
ington. Along ‘with the mill went a
large body of timber’ land, including
the holdings of the Gaston Mining
Company. Case states that the sawmill company contemplates the purchase of stumpage’in the Tahoe National forest adjoining Present timber stands on its own property.
The mill wag moved from Granieelevation, to Washington, about half
logger ‘work season. As much of the
timber lies below Graniteville logs}.
can be transported at less. cost on a
down hill haud. Ranger Case states
that available timber for the mill
‘will aggregate 90,000,000 board ft.
Arrangements are being made for
a large log storage and a three acre
pond has been excavated. It is ex~ . ,
pected: that when the mill begins operations in May, 50 men will be emPloyed in the woods, in sawing and
in piling lumber. It is believed. that
this will require new honsing facilities in Washington. ;
Pico Services Today
For Late Thaddeus Adams
Funeral services will be held this
afternoon in the Holmes and Myers
Funeral Home for the late Thaddeus
Adamg who Passed away Tuesday in
a local hospital. Rev. Mark Pike will
officiate and interment will be in
Gréenwood Cemetery.
Adams, a native of Colorado, aged
66 years, had made: his home with
his son, Harold Adams on a ranch
west ‘of Grass Valley for the past
three months. He has no other relatives in the county,
Gold Flat School .
Sells $3,675 Of Bonds
Students of Gold Flat school. in
. district adjacent to Nevada City,
sold $3675 -worth of war bonds in
its recent contest, The sale was
planned by Mrs. Irma Atkins, Miss
Alice Nhibalt and ‘William’ J. Wasley.
Virginia Pease won the first prize
.of. $3 for her eales.of bonds, The
second prize of $2. was divided between Push March and
%
ria new era of prosper-.
stood to be a subsidiary of the State.
County, and moved it down to Wash-})
as high, in order to give a much}.
Harl Covey Grass Valley garage
proprietor. returned from Napa early
this week where he visited a short
time with his son Lieut, Clinton
Covey, United States Navy:, pilot and
wearer of the Distinguished Service
Cross.
expects ‘to come to Grass Valley for
a few days stay about the first of
the year. .
Lieut. “Covey’s last activity was in
connection with the-invasion of Leyte although his 18 months of overseas covered the war from the time
the Japanese were driven from British New Guinea and through the island chain, including Biak.
The recent overseas experience
was Lieut. Covey’s second, for he had
spent six months in overseas ! duty
early in 194:2.
His father has figured that the
local flier has flown sufficient miles
to circle the globe 24 times. He has
crossed the equotar 100 times.
(Covey wasa member of the Nayy
Bomb Squadron 11 witch pioneered
the ‘Catalina seaplane, the Black Cat
as an offensvie weapon and. received
the” presidential citation, awarded
. upon the ,squadron’s return to the
iF Station at. Alameda Yast’ Naval"
‘week.
Covey made seven night missions
against Japanese shipping while based in Dutch New’ Guinea. His plane
destroyed seven sniall ships. and
eight barges in the face of heavy.
anti aireraft fire, flew 10 air sea
rescue missions with the army air
forces and helped in the evacuation . .
of Australian soldiers dnd natives
from the Sepik River area back of
Japanese lines in New Guinea.
ville, which stands at a 5000foot hd
An informatnon ‘was. Tiled Tues-.
day by District Aitorney H. Ward
Sheldon, formally charging Thomas . ‘
O'Dea, with resisting an officer, November 25th, at which time it was
alleged, O’Dea slugged Policeman
William Sproul, off duty at the tine
and Kenneth Manual while the ‘Tatter was booking him at the Grass
Valley, police station.
The information recites a_ ‘prior
gonviction on a grand theft charge in.
Los Angeles county in August, 1938,
following whic hhe served a sentence
in the county jail there, Aliases for‘nerly used by O'Dea, mentioned in.
the information, are Patrick J.
O'Dea, Al Wilson and K. 0. Kelly.
O'Dea at the time of his arrest in
November was engaged in circulating petitions to the-district attorney
and to attorney general . Robert W.
Kenny, asking the: arrest ‘and trial
of Irvin Davis on a charge of murdering William Ebaugh, whdm Dayis shot and killed on November 17,
after Ebaugh had refused to sur‘ender.
Ebaugh wag charged with the
murder of Henry Lewis, wounded
veteran of World War Il, who had
received a medical discharge from
. the army, and was engaged in a deer
hunt, when he stumbled by accident
upon the hideout of Ebaugh in an
old mine tunnel in the canyon above
Seotts Flat. Ebaugh had evaded arrest on a cattle killing charge for
almost a year, and it s believed
he killed Lewis to prevent _ disclosure of his hiding piace.
street had as a Chr: guest her
son Frank Campbell of ‘San FranCarl Wasley. . ;
ae
Covey declared that the naval flier f
Mrs. Mary Campbell “ot pe
COL. HUNTER TO
TAKE NEW POST
Colonel R. C. Hunter,
for four
years engineer of Sacramento-district.
revealed
yesterday that he will be transferfor. the army engineers,
‘red soon to a nw position.
Hunter came to Sacramento
oming. .
At one time a ceivil engineer in
Boston, Hunter has been, in the army
28 years.
“When I was _ transferred.
engineer, no military
trict, ” he said.
“For. several years: the amount being expended on new civil works had
; averaged $2,000,00 annually,
amount being used on levees, dredging, Rebelo ainar ate ee aa aie
trol studies.
in
1940,,and under his charge the Sacramento district expanded until today it is the nation’s largest, embracing parts of California, Nevada. Oregon, Utah, Idaho, BP yee and Wy~here
from duty as San Francisco district }
construction .
Was handled by the Sacramento dis-.
this;
"Scaler Fred ‘Bieey: andtrol Assistant William AL
the Downieville district of the
national forest took a 100 mile sn
shoe trip last week announced
trict ranger Delaney. The tri
in the high Sierras . “and. exte
from Deer Lake to ‘Bear Lakes
. the Plumas forest. About 80 p
of the Arael was on old time s
Skiis and the balance on bear
webs while working the high
Forged eum cups. AL
snowfalland high win
countered. Measur
at the end of the
depths varied from »
The fair, weather.
storm aqifickly settled
the snow pack, Alt
fevetatn or
contributed his
‘Tun off, :
“Four years agé, the corps of en-. rho Has.
gineers took over the air corps -con-. 'the Un
struction work formerly under the ing
quartermaster corps, and a year lat-.
er—fust. after Pea) Harbor—allmilitary construetion was tranefer-. .
red to the corps of engineers.
“Sacramento district was
tion
porte,
erous other war time installations.
“Upon occasion, we made excursions into other districts. We took
over construction work at pirat
Nevada, and for a period thatMoses Lake and Ephrate in Washing: 1
ton,
000 :000. per month.)
“Geographically in the past three
years, Sacramento district was srown .
to become the largest district ‘in the
United States and in this time it boxe:
program was under way, war
gineering which consists. mainly
planning for flood control ;
and harbor works wae by no
allowed to lapse. =
“As a matter of fact. this mon
which had formerly been formed
a small planning section of. our
gineer division was expanded m
times and a separate division, kr
as the water resource division,
organized to. take over this work.
Their-main job was formulating a. 1
comprehensive plan for development
of the Central Valley.’
DANCE AT LAKE. VERA
Mr. and Mrs. A. Carino and Mr.
and Mrs. Hatry Hewer were hosts
ata dancing party at Lake Vera on
the Christmas. Eve. The party took for
place in Camp Agusta Lodge. A midnig ‘supper, was ‘served
style. Those ‘participating
and Mrs. Henry$ Goering
pie Joseph Carino. of Rena,
. Jathes Larrabee,tapes Hewer, Mr. a foie w
Warne of Union f f
daughter o
Mr. and “aor <t
then}.
charged not only with the continua-. ,
tion of its eviil works, but in addi-. ~
h the construction of airfds
cantonments, depots and. num;
was
expeniturgs _ -umped trom to
somewhat more than $200,000 per .
{month to a peak of. more’ than: $26." 08