1 minute read
Greater Overall Growth in the Next Decade
by Clark A. Johnson Executivc Vicc President Thc Wickcs Corporatron
increase by about 35ol'. This increase will be due primarily to the post World War II babies coming of age.
The increase in the 25-44 year old age bracket represents increased purchasing power of a magnitude heretofore unexperienced in the U.S. economy.
whole will expenence greater overall growth than in thc decade ol the 70s.
However, the West and South will outpace the Northeast and North Central Regions in most growth categories. Our optimism about the next l0 years does not preclude the fact that there will be problem periods during the decade, many of which are with us today and clearly in focus.
Growth in the Seventies was hampered by a number of economic shocks and disappointments characterized by energy crises, recessions, high inflation, and slow productivity growth. Significant economic growth will depend on how effectively we meet these challenges in the decade ahead.
Among the factors that will shape economic growth in the Eighties, few will have a larger impact than the changing structurc of the population and the labor force. Population segments that will increase the most are the older, more affluent age brackets. In the next decade, the number of households in the U.S. will increase by some 2001, while households headed by a 25 to 44-year-old will
The migration to the South and West will continue with California. Florida. and Texas expericncing the largest net gains. While only about 45%r of all Americans lived in the West and South in 1960. almosr 55()lr will live there in 1990.
Because of the positive stimulus of demographics, housing demand is expected to be very strong, and housing demand will support average starts of over 2 million units annually in the Eighties.
The lumber and buildine marerials industries will benefit Trom an increasingly mobile society. Most remodel and repair work is done in the first two years after a family moves. With almost 200/o of the U.S. population changing residence (Please turn to page 109)
