Evidence of improved inventory control

Inventory data applied to a standard partial stock-adjustment model demonstrate that inventory control, defined by desired marginal inventory-sales ratios and speeds of adjustment, improved in the last decade or so, particularly in the manufacturing sector. In addition, the evidence suggests that, contrary to popular wisdom, the net effect of these changes in inventory control has been to increase the volatility of inventory investment in both the manufacturing and trade sectors.Inventories

Fifth district indexes of manufacturing output

Monthly indexes of U.S. manufacturing output are not generally available for individual states or for specific regions of the country. In this article we present new monthly indexes of manufacturing output for the period 1979 through 1987 for the Fifth Federal Reserve District, its individual states, and three of its major industries—textiles, chemicals, and electric equipment.Federal Reserve District, 5th ; Manufactures