FINANCE FACTS - MAY 1978

Sep 21, 2026

Uploaded by Noah

A monthly publication summarizing consumer financial behavior and related economic indicators as of May 1978. Highlights include retirement and labor force participation changes for older workers, the farm population trend in rural areas, and movements in the cost of food at home during late 1976 to 1977. It also reports the federal fiscal position with quarterly and calendar-year deficit figures, labor force composition shifts, industrial production growth in March, and consumer buying plans.

LanguageEnglish

CategoryResearch & Report

FormatPDF

Pages5

Reading Time13 min

AccessFree to download

FINANCE FACTS

OLDER WORKERS-45 YEARS AND OVER

FARM POPULATION

COST OF FOOD AT HOME

FEDERAL FISCAL POSITION

LABOR FORCE

INDUSTRIAL PRODUCTION

CONSUMER BUYING PLANS

7? # FINANCE FACTS A Monthly Publication on Consumer Financial Behavior Any or all the material in this publication may be quoted or reproduced. OLDER WORKERS-45YEARS AND OVER Older men have been leavinglabor force,both voluntarily and involuntar-ily,in large numbers during last 15 years,reports The Conference Board.Trend seems likely to continue in decade ahead but at much slower pace.Men 45 and over make up only one-third of male civilian labor market,down from nearly 40%,ten years ago.By 1990 they are expected tocomprise only 30%of work force. Factors behind retirement boom are many legislative,economic and socialchanges.A major factor is 1961 change in Social Security laws,which nowpermit men between 62 and 64 to retire with reduced benefits.Over theyears Social Security coverage has been extended to most of labor force,except government and railroad employees most of whom have their ownretirement programs.Liberalization of Social Security retirement benefitshas also contributed to trend.In 1950 average monthly payment for malebeneficiaries 65 and over was $32,in 1976 it was $292.After accounting forinflation,payment has almost quadrupled during period.Other factorscontributing to retirement boom:growing number of private pensionplans,greater difficulty of older workers who become unemployed to findnew jobs,and liberalization of eligibility requirements for Social Securitydisability payments. While working life of men has been declining,it has been increasing forwomen.Also,labor force participation rates for older men have beendeclining,and it has risen for women.Major factors contributing to risingfemale employment:generally high levels of business activity,rapidgrowth in sectors which have traditionally employed large number ofwomen,wide influence of women's movement and legislation forbiddingsex discrimination in employment. ## FARM POPULATION An average of 7,806,000 persons lived on farms in rural areas of U.S.,in12month period centered on April 1977.About l person out of28,or 3.6%of Nation's 216 million people,had farm residence.Continuing long-termdownward trend,1977 estimate of farm population was about 450,000 or 5.4%lower than in 1976,and 1.9 million or 19.6%lower than in 1970. ## COST OF FOOD AT HOME Cost of similar market baskets of food rose over 7%between December1976 and December 1977.Examples of low-cost plan in December 1977were $53.10 for food for one weekfor family offour with schoolchildren and$31.70 for family oftwobetween 20and54years ofage,compared to $49.40and $29.10,respectively,for December 1976. Liberal plan for food at home for one week was estimated to cost family of MAY 1978 Labor Force Participationof Older WarkersSelected Years,1965—Projected 1990Souree:Bureau ofLabor StalisticsDecember 19775oure:Deportment of Agriculure FINANCE FACTS MAY 1978 Federal Government4th Guarter 1977 four with children in school$80.10 and for family of twobetween 20 and54years of age $47.40,compared to $74.60 and $44.00,respectively,inDecember 1976. ## FEDERAL FISCAL POSITION Federal Government deficit as measured in national income and productaccounts increased $1.2 billion in fourth quarter 1977 to $60.1 billion at aseasonally adjusted annual rate.For calendar year 1977,deficit was $49.5billion,compared with $54.0 billion in 1976 and $70.2 billion in 1975. Receipts infourth quarter 1977were $386.2billion,$13.0billion increase.Increase in receipts in fourth quarter was substantially more than in thirdquarter,due to absence of legislated tax changes and to large increase inincomes.Personal tax and nontax receipts increased $7.0billion,corporateprofits tax accruals increased about $3.4 billion,social insurance contribu-tions increased nearly $2.8 billion,and indirect business tax and nontaxaccruals declined slightly. Expenditures in fourth quarter 1977 were $446.3 billion,$14.2 billionincrease from third quarter.Subsidies less current surplus of governmententerprises increas

FAQs

What changes are described for older workers' labor force participation?

Older men have been leaving the labor force in large numbers over the previous 15 years, with the trend expected to continue more slowly. The text attributes retirement changes to Social Security law changes and broader economic, legislative, and social factors.

How is farm population in the U.S. described for the period centered on April 1977?

An average of 7,806,000 people lived on rural farms in the 12-month period centered on April 1977. The share of the population living on farms is given as about 3.6%, with a continuing long-term downward trend.

What does the document report about industrial production in March (and how it compares with earlier months)?

Industrial production in March is estimated to increase by 1.4% after a revised 0.3% rise in February and a 0.8% decline in January. The March index is stated as 141.0 (1967=100), 4.2% higher than a year earlier and about one percent above the December 1977 level.

Sep 21, 2026

Uploaded by Noah