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By Alfred H. Bell

Drilling activity increased in Illinois in 1935. There were 34 com-pletions as compared with 26 in 1934 and 18 wells were drilling at the end of 1935. Some large blocks of acreage were leased in Marion and Clay counties near the central part of the Illinois structural basin. Production of oil in the state totaled 4,305,000 bbl., a decrease of 4 per cent from that of 1934 There was some curtailment of production in the early part of 1935 but none after April 30 as shown in the following table. Percentage Pro-duced of Potential ProductioN (USING September 1934 Period as BaSis) Jan. .l-Feb. 20............................................ 79 Feb. 21-Feb. 25............................................ 85 Feb. 26-Feb. 38............................................ 79 Mar. 1-Mar. 11............................................ 85 Mar. 12-Mar. 31............................................ 100 Apr. 1-Apr. 9.......................................... 80 Apr. 10-Apr. 30............................................ 86 May 1-Dec. 31........................................... 100 This is equivalent to an average curtailment throughout the year of 5 per cent. The price of Illinois crude oil at the wells remained constant during 1935 at $1.13 per barrel. A small amount of oil was sold at a 1ower price, notably from the Dupo field, but to arrive at a value for the state's production there would be little error in assuming an average price of 81.13, giving a total value of $4,864,465. The following table shows production in Illinois by moths in 1935, according to the U.S. Bureau of Mines. Jan............. 332,000 May.......... 382,000 Sept ,............. 370,000 Feb............. 295,000 June. ........... 858,000 Oct.............. 391,000 Mar............ 370,000 July............ 377,000 Nov............. 369,000 April............ 338,000 Aug............. 379,000 Dec............ 344,000

Jan 1, 1936

By Alfred H. Bell

Drilling activity increased in Illinois in 1935. There were 34 com-pletions as compared with 26 in 1934 and 18 wells were drilling at the end of 1935. Some large blocks of acreage were leased in Marion and Clay counties near the central part of the Illinois structural basin. Production of oil in the state totaled 4,305,000 bbl., a decrease of 4 per cent from that of 1934 There was some curtailment of production in the early part of 1935 but none after April 30 as shown in the following table. Percentage Pro-duced of Potential ProductioN (USING September 1934 Period as BaSis) Jan. .l-Feb. 20............................................ 79 Feb. 21-Feb. 25............................................ 85 Feb. 26-Feb. 38............................................ 79 Mar. 1-Mar. 11............................................ 85 Mar. 12-Mar. 31............................................ 100 Apr. 1-Apr. 9.......................................... 80 Apr. 10-Apr. 30............................................ 86 May 1-Dec. 31........................................... 100 This is equivalent to an average curtailment throughout the year of 5 per cent. The price of Illinois crude oil at the wells remained constant during 1935 at $1.13 per barrel. A small amount of oil was sold at a 1ower price, notably from the Dupo field, but to arrive at a value for the state's production there would be little error in assuming an average price of 81.13, giving a total value of $4,864,465. The following table shows production in Illinois by moths in 1935, according to the U.S. Bureau of Mines. Jan............. 332,000 May.......... 382,000 Sept ,............. 370,000 Feb............. 295,000 June. ........... 858,000 Oct.............. 391,000 Mar............ 370,000 July............ 377,000 Nov............. 369,000 April............ 338,000 Aug............. 379,000 Dec............ 344,000

Jan 1, 1936

By E. H. Burroughs

This bulletin is the sixth in the series of petroleum bibliographies published by the Bureau of Mines, Bulletins 149, 165, 180, 189, and 216 being compilations for the years 1915, 1916, 1917, 1918, and 1919- 1920, respectively. In this bulletin the same general plan has been followed in arranging the references, but one or two additions have been made in the classification.

Jan 1, 1921

By J. H. East, D. Harrington

"INTRODUCTION Considerable interest has been shown in the prospective use of Diesel-powered haulage equipment in both coal and non-coal mines. Foreign technical magazines have devoted considerable space to discussions of the use of Diesel locomotives in European mines and some mention of it has been made in technical papers in the United States. The Bureau of Mines has extensively tested the gases produced in the exhaust of the Diesel engine under various atmospheres and conditions of use; it has established a schedule of tests for permissibility of Diesel engines for use in underground coal mines, including, gassy or dusty mines.This publication provides information as to the successful use of Diesel-powered equipment underground workings in the United States and Europe, briefly discusses the characteristics of some of the toxic gases found in the exhaust of Diesel engines, and points out that Diesel-powered equipment can be used with reasonable safety in underground minus if necessary and entirely feasible precautions are taken."

Apr 1, 1947

1. Domestic Production and Use: In 1975.12 companies operated 31 primary aluminum reduction plants, with 3 firms accounting for 67% of production capacity. Washington, Oregon, and Montana accounted for 37% of the total production; Gulf Coast States 21%, Northern States 29%, and other Southern States 13%. Output of primary metal in 1975 was valued at $3.0 billion. Aluminum consumption by 25,000 firms was centered in the East Central United States. Of aluminum consuming industries in 1975, building accounted for about 21%; transportation 19%; electrical 14%; packaging 18%; and consumer durables, 9%.

Jan 1, 1976

A new series of reports called ?Mineral Perspectives" (MP's) has been initiated by the Bureau of Mines with the publication of MP-1 titled, "Far East and South Asia" by K.P. Wang and the staff of the Bureau of Mines. This new series parallels the creation of the recently announced "Minerals Commodity Profiles" (MCP?s). Both series are designed to provide current information on important sectors of the mineral economy to assist professionals in government, industry, and education in monitoring supply-demand relationships that have significant impact on our domestic economy as well as on the international scene. The orientation of the "Mineral Perspective" series is a geographic one which examines the mineral situation of a region or a country. The "Mineral Commodity Profile? series examines individual mineral commodities. They are in this sense complementary.

Jan 1, 1977

By I Thomson, L D. Black, R G. Boutilier

The social license to operate (SLO) began as a metaphor for the ability of communities to stop mining projects. Soon people began to speak of levels of social license and the ability of communities to raise costs without completely stopping exploration or mining activities. Today the concept has spread to other industries and is evolving towards becoming a general management perspective on the socio-political rights and responsibilities of the corporation. The business case underpinning the SLO perspective on management is the need to assess and manage socio-political risk. For mining companies, socio-political risk has been steadily rising for several reasons, including the efforts of non-government organisations (NGOs) to pre-empt government policy options; the entry of mining companies into jurisdictions weak in the rule of law; and the weakness of global economic and financial regulation. In this perilous world beyond the comfort zone of effective government, mining companies must build their own socio-political stability by engaging directly with stakeholders to develop a strong SLO. In order to become a practical management perspective, the SLO needs to be measurable, which amounts to measuring the socio-political risks and opportunities presented by stakeholders. We present the results of efforts since 2009 to develop a globally reliable and valid measurement tool at the project and industry levels, validated in studies in Australia, Bolivia, Mexico and the USA. A factor analysis suggested four factors that mine management can address to raise their SLO level. The most chronically neglected factor involves the political right of the corporation to foster more equitable social contracts locally and regionally in both developed and developing countries. We conclude with recommended steps to earn and maintain the social license at the project and industry levels.CITATION:Boutilier, R G, Black, L D and Thomson, I, 2012. From metaphor to management tool - How the social license to operate can stabilise the socio-political environment for business, in Proceedings International Mine Management 2012, pp 227-238 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 20, 2012

By K. Ramji

"The development curve in the extractive sector has become longer, steeper, and riskier due to increased social, legal, and political risks from various stakeholders. Indigenous peoples are a unique stakeholder because their growing legal rights to lands and resources can often determine a project’s outcome. A project will only be successful if it is able to obtain the legal permits, withstand any judicial reviews, and gain and maintain the social license to operate. Stakeholder identification, management, and engagement are key risk-mitigation tools required to successfully convert risks into opportunities.RÉSUMÉ La courbe de développement du secteur de l’extraction s’est allongée, elle est devenue plus abrupte et plus hasardeuse en raison de l’accroissement des risques sociaux, légaux et politiques venant des divers intervenants. Les peuples autochtones sont des intervenants uniques puisque leurs droits légaux croissants sur les terres et les ressources déterminent souvent ce qu’il adviendra d’un projet. Un projet ne pourra réussir que s’il est capable d’obtenir les permis légaux, passer à travers les analyses judiciaires, puis obtenir et maintenir le permis social d’exploitation. L’identification des intervenants, la direction et l’engagement constituent les outils clés de l’atténuation des risques nécessaires pour bien convertir les risques en possibilités."

Jan 1, 2016

By Jorge Gibson, P. Chris Pistorius, Megha Jampani

"The main reason for the significant carbon intensity of integrated steelmaking (approximately 1.8 tons of CO2 per ton of steel) is the use of carbon-based reductants in blast furnace ironmaking. Several changes to blast furnace ironmaking have been proposed as ways to reduce carbon intensity and cost. A conceptually simple two-zone blast furnace mass and energy balance can be used to quantify the expected impact of such process changes on coke rate, carbon intensity, and productivity. Examples to be discussed include top gas recycling, combining lower blast temperatures with increased coal injection to produce a rich top gas, using prereduced feed, and tuyère injection of natural gas. The use of the operating window – which illustrates how allowable flame temperatures and top-gas temperatures constrain feasible oxygen enrichment levels – is illustrated. Increased use of natural gas would lower the carbon intensity of blast furnace ironmaking.IntroductionBecause of the significant carbon intensity of steelmaking (approximately 1.8 tons of CO2 emitted per ton of steel produced) and the high production rate of steel (more than 1.4 billion tonnes per annum), steelmaking is responsible for a large percentage, approximately 6.7%, of world anthropogenic CO2 emissions [1]. By far the largest input of the carbon into conventional steelmaking is as coke, which is essential to blast furnace ironmaking. A typical fuel rate for blast furnace ironmaking is 450 kg of fuel per tonne of hot metal (THM). (""Fuel"" includes coke and injectants which partially replace coke; pulverized coal and natural gas are typical injectants.) Assuming the fuels to contain 90% carbon on average, and since nearly all of this carbon exits the steel plant as CO2, a fuel rate of 450 kg is equivalent to a CO2 intensity of 1485 kg/THM – by far the largest part of the total CO2 intensity of steelmaking.Blast furnace ironmaking is expected to remain the main source of new iron units; this paper gives some estimates of the extents to which further reductions in carbon intensity from blast furnace ironmaking is possible. A recent European assessment suggested that blast furnace process intensification options such as increased pulverized-coal injection or natural gas injection would yield only modest energy savings [2]. However, if the focus is on CO2 emissions rather than on total energy use, there would be an advantage to using fuels – such as natural gas – which have lower carbon contents relative to energy content."

Jan 1, 2014

By Robert W. Waytulonis

Mining regulations pertaining to the use of diesel engines were solicited from foreign countries with mining operations by the Bureau of Mines. Responses were received from 27 countries; the information received and U.S. regulations were reviewed, and those parts pertaining to the use of diesel engines in underground mining were synopsized according to the following subject categories: types of engines permitted, testing and certification procedures, fuel quality specifications, emission control requirements, procedures and frequency of testing exhaust gases, mine air quality and quantity (ventilation) requirements, procedures for testing mine air quality and quantity, and noise standards. All categories except the types of engines permitted and testing and certification procedures are summarized in tables. Contacts are provided for each country to facilitate inquiries concerning regulation revisions or interpretation.

Jan 1, 1987

By E. O. RHODES

This report is one of a series written by members of the Solid Fuels Mission to Germany describing wartime developments in the mining, prepara- tion, and utilization of coal. This mission was organized early in 1945 under the auspices of the Technical Industrial Intelligence Committee, which cooperated with a counterpart British Committee. In some instances; engi- neers from other allied countries cooperated. The Solid Fuels Mission operated under the direction of a steering committee headed by Dr. C. J. Potter, Deputy Solid Fuels Administrator. The personnel of the mission consisted of H. F. Yancey, in charge, J. W. Buch, Thomas Fraser, L. L. Newman, and L. D. Schmidt of the Bureau of Minos; H. H. Lowry, Director of the Coal Research Laboratory, Carnegie Institute of Technology; H. J. Rose, Vice-President and Director of Research, Bituminous Coal Research, Inc.; and F. H. Reed, Chief Chemist, Illinois Geological Survey. E. 0. Rhodes, Manager, Development Section, Tar Products Division, Koppers Co., Inc., served on the mission for the Chemical Subcommittee of 1.I.I.C. in Europe. His assignment was the investigation of the coal-tar industry. In this connection he prepared this report on the German Low- Temperature Tar Industry as a companion to his provious report on the German High-Temperature Tar Industry (Bureau of Mines Information Circular 7409). Because of Mr. Rhodes' extensive experience in these fields and the impor- tance of the subject material to the coal producers and those utilizing coal-tar products, both reports are issued by the Bureau of Mines. Over fifty reports were written by the members of the Solid Fuels Mis- elon. These, together with microfilms of supporting data obtained in the course of the investigations, are on file at the Foreign Documents Group, Technical Reports Section, Bureau of Mines, Pittsburgh, Pa., where they are available for examination. Copies of reports available in printed form may be ordered from the Department of Commerce, Office of Technical Services, Washington 25, D. C. Check or money order accompanying order for printed reports should be made payable to the Treasurer of the United States. A Bibliography of Scientific and Industrial Reports, covering all ma- terials and subjects and giving instructions for obtaining the desired items, has been published weekly by the Office of Technical Services. Effective July 1, 1948, the Bibliography of Scientific and Industrial Reports will be prepared monthly instead of weekly and on a more selective basis. issue, which will be the first monthly issue, will be available about July The July month thereafter through June 1949. Annual subscriptions and orders for individual copies starting with the July 1948 issue should be addressed to the Department of Commerce, Office of Technical Servicos, Washington 25, ur, and be accompanied by chock or money order made payable to the Troas- Bibliof the United States. Annual subscriptions for monthly issues of the Bibliography of Scientific and Industrial Roports will be $10. Individual issues will cost $1 per copy. Foreign subscriptions will be $14 per year and $1.50 por copy. tions listed in the Bibliography of Scientific and Industrial Reports should All orders for reports in microfilm or photostatic type of reproduc- ורי

Feb 1, 1949

By H. Gerry Stephenson, Devin Castendyk

"One of the most important environmental issues associated with contemporary openpit mining is the closure of mine pit lakes, and the perpetual legacy these lakes can potentially generate. Ideally, successful pit lake closure includes the following:• The water quality within the pit lake, plus surface water and ground water discharging from the pit lake, meets premining or other acceptable water quality conditions of the receiving environment. • The termination of all active treatment processes.• The return of the pit lake to the government for long-term care and maintenance.• The release of the mining company from all future liabilities associated with the pit lake.• The return of the environmental bond to the mining company.• The reuse of the pit lake for some post-closure, beneficial purpose.The achievement of these goals is known as walk away pit lake closure.Peer-reviewed publications of successful walk away, pit lake closure provide mining companies with the ability to address public concerns regarding the safety of pit lakes which commonly occur during the permitting, operations, and closure phases of mining. To date, most published work on walk away, pit lake closure work has occurred in the coal mining sector in Germany and Australia (McCullough et al., 2009; Jones and McCullough, 2011; Kumar et al., 2013; Schultz et al., 2013). In North America, examples of walk away, pit lake closure are not widely discussed in the literature despite there being excellent examples from the coal mining sector in Alberta, Canada (e.g. Pleasure Island, Black Diamond, East Pit, Sphynx, Robb, Lovette, Siltstone and Sterling), and from the iron mining sector in Minnesota in the United States (e.g. Portsmouth Lake, see MNDNR, 2018). Although seldom included in discussions of pit lakes from the metal and coal mining sectors, the aggregate and fabricated-stone mining sectors also produce pit lakes, and there are numerous examples throughout North America where these pit lakes have been successfully closed and transformed into post-mining resources (Vandenberg, 2018; Crossman, 2019). The difficulty of finding these good examples in the literature makes it challenging for companies to respond to public and regulatory questions regarding pit lake closure and reuse. As such, there is a pressing need to document the motivations and approaches used in examples of successful, walk away, pit lake closure in North America so that the mining industry, at large, can learn from these examples and can better address public concerns."

Aug 1, 2019

By M. Leahy

"Very little is known about the large scale fluid dynamics and associated distribution of copper in an operating electrowinning cell, yet they will have a major influence on mass transfer and plating quality. The CFD model in this work is used to simulate an entire EW cell with 60 cathodes and 61 anodes, or 121 anode–cathode pairs, elucidating for the first time the three-dimensional (3D) flow and copper distribution in an industrial cell. Two methods for the distribution of electrolyte are modelled:1. Downcomer method: electrolyte is fed by a downcomer at one end of the cell, overflowing at the opposite end.2. Manifold method: a horizontal manifold pipe runs the whole length of the cell and feeds electrolyte via small holes in the top of the manifold pipe.The recirculation that develops within each anode-cathode pair, driven by oxygen bubble generation on the anode, is similar to that seen previously in two-dimensional models of single anode–cathode gaps. However a more complex 3D flow recirculation is established, which involves flow of electrolyte down the side gaps (being a path of low resistance for return flow) as well as the usual return flow down the cathode side of each pair gap. The bubble-driven flow is not influenced by the mode of electrolyte distribution.The electrolyte flow due to the manifold and downcomer is somewhat secondary to the bubble driven flow. In the case of the downcomer distribution mode, the high injection velocity causes a very turbulent flow in the first 1–2 m down the cell from the downcomer, with several large vortices developing. This may lead to some sludge particles being entrained into the bulk of the cell.In the manifold pipe case, the jet from each hole is dissipated very quickly, within the first 10–20 cm. The jets are directed into the downward flowing zone of the bubble-driven recirculation, which leads to unstable and periodic behaviour on a large spatial scale.In both the manifold and downcomer cases, there is a marked two-zone vertical stratification in copper concentration."

Jan 1, 2016

By H Möller

The purpose of this paper is to give an overview of the corrosion behaviour of steel in seawater. It is shown that the corrosion products (oxy-hydroxides and calcareous deposits) that are formed during corrosion in seawater have a significant effect on the corrosion behaviour of steel. The chemical composition of the steel determines how protective the oxy-hydroxide corrosion product is. The composition of the seawater influences the nature of the calcareous deposits. This needs to be considered when artificial solutions are used to simulate the corrosion behaviour of steel in seawater. A 3.5% NaCl solution is used frequently for this purpose, but because no calcareous deposits can be formed in this solution, erroneous results in terms of corrosion rates are obtained. The more complex ASTM D1141 artificial solution can be used to include the effects of ions other than Na+ and Cl- in synthetic seawaters. The importance of these other ions on the formation of calcareous deposits is discussed. Keywords: Steel, corrosion, seawater, calcareous deposits, oxy-hydroxides

Jan 1, 2006

By Bahjat Khoshaba, Bern Klein, Haixing Yan, Libin Tong, Andrew Bamber

"When a conductive or magnetic particle was put into an electromagnetic field introduced by an electromagnetic sensor, the particle can influence the electromagnetic field which can be used to characterize this particle. The electromagnetic technology based on eddy current theory was explored to investigate its potential in both the separation of minerals and the pre-concentration of a base metal ore. Samples tested in the study included the minerals obtained from Ward’s Science and the low grade copper ore particles obtained from Mount Polley Mine. The effects of mineral type, sensor frequency, particle size, particle position on the sensor surface, and particle lift-off on the magnitude and phase of the electromagnetic spectra were investigated. The electromagnetic spectra of various minerals show that it is possible to separate chalcopyrite or magnetite from tested minerals, simply based on the magnitude of the spectra. The spectra of the ore particles were determined by the mineral in the particles with the strongest signal. The effect of the pre-concentration of the low grade copper ore is determined by the association of chalcopyrite with magnetite. Direct sorting is the mechanism in the separation of mineral particles, while indirect sorting is the mechanism for low grade ores.INTRODUCTIONSensor-based sorting technologies include radiometric, X-ray transmission, X-ray fluorescence, near infrared, photometric, inductive, microwave heating and so on. Sorting not only discards barren rocks away from the concentrator but also recovers metal bearing that would be lose to the waste dump. The benefits of pre-concentration using sensor-based sorting are achieved on reduced energy consumption for comminution and reduced water usage on a volume per weight of metal basis (Bamber, 2008; Gunson, Klein, Veiga, & Dunbar, 2012; Kleine & Wotruba, 2010; Knapp, Neubert, Schropp, & Wotruba, 2014; Kobzev, 2014; Lessard, de Bakker, & McHugh, 2014; Mazhary & Klein, 2015; Robben, Wotruba, Robben, von Ketelhodt, & Kowalzcyk, 2013). Amongst others, high frequency electromagnetic sensors were developed for ore sorting at MineSense Technologies Ltd. and are subject of this paper. Improving the understanding of ore heterogeneity is the basis for developing a successful semi-bulk or bulk sorting systems by incorporating the sensors in the material handling equipment (MineSense Technologies Ltd., 2016). The present study focuses on the bulk sorting potential and bulk sorting mechanisms of the electromagnetic technology in the pre-concentration of minerals or ores."

Jan 1, 2016

By W. K. Coughlan

The Wabana deposit of Dosco Industries Limited is situated on the east coast of Newfoundland, at Bell Island in Conception Bay. It is a Clinton-type iron-formation of Lower Ordovician age. Five separate beds have been recognized, with others noted locally. Economic production has been obtained from the Lower, Middle and Upper beds, which are second, third and fifth in sequence, al-though at present only the Lower Bed is worked. The potential area of occurrence is about 70 square miles. It i;; bounded by major faults to the north, east and west and truncated by erosion at the south, where rocks of the de-posit crop out on the north side of the island. The iron is contained in oolitic hematite and chamosite, with minor siderite. As the deposit is submarine, conventional exploration methods are not applicable and much interpretation and projection from mined areas is necessary to guide exploration and development. With the interpretation of information from existing mined ores, it is possible, using a minimum of diamond drilling in advance of working faces, to maintain adequate ore reserves.

Jan 1, 1966

By M. du Plessis, G. More O’Ferrall, A. Hartzenberg

"Lonmin Platinum has experienced several cases of large-scale hangingwall instabilities during the extraction of the Upper Group 2 Chromitite Layer (UG2) at a number of the Marikana operations along the Western Limb of the Bushveld Complex. These instabilities were all attributed to the presence and interaction of prominent geological features and highlighted that assumptions made in the design of the stable pillars and stable span were potentially overly simplistic in these areas. Investigations into the various case studies over the past ten years have resulted in the identification and classification of the rock mass characteristics of the geological structures causing the instabilities.In order to get a better understanding of these instabilities, it is important to understand the structural geology in general, and the sequence of events that led to the formation of the Bushveld Complex in particular. The tectonics involved in the formation of the various layers around the economic mineralized layers has been investigated, and the influence of these tectonic events on the stability of the UG2 stopes hypothesized.Following this investigation, the behaviour of the various layers in the hangingwall of the UG2 is better understood. This paper presents a description of the ground conditions being experienced in the underground stoping environment, the possible source of the associated structures and the resultant behavioural mechanism of these structures causing the rock mass instabilities."

Jan 1, 2015

Kaiser Aluminum & Chemical Corp. announced that it planned to spend $66 million to increase the efficiency of its Baton Rouge, Louisiana, alumina plant. The improvements are designed to reduce energy consumption but will not change the annual capacity of the plant, now rated at about one million short tons. The project was expected to be initiated immediately and be completed by 1982. ALUMINUM Producers in this country posted unalloyed 99.5 percent aluminum ingot at 53-57.5 cents per pound, yet actual selling prices were closer to 53 cents. Domestic merchants quoted unalloyed ingot on a spot basis at 54-56.3 cents. London Metal Exchange 3-month forward contracts fell during November's trading from 55,2 cents to 52.8 cents per pound.

Jan 1, 1978

Many of the difficulties faced by the U.S. mineral industry in 1982 and 1983 emanated from the worldwide recession, from the high value of the U.S. exchange rate, and, in part, from actions taken by foreign governments to protect selected industries. While some problems will be minimized with continued worldwide economic recovery, others remain and may require special attention by U.S. policymakers. These problems include declining U.S. production capacity in selected mining and mineral processing industries, the impact of the high value of the U.S. exchange rate, and protectionist trade practices by competitor nations. Illustrative of the last is the International Trade Commission (ITC) determination in June 1984 that both the domestic steel and copper industries have been substantially injured by foreign imports. In its July 1984 recommendations to the President, the ITC suggested higher tariffs and quotas for 5 years on 70 percent of steel imports but conditioned the aid on cost-cutting and modernization steps by the domestic industry. In the copper decision, two commissioners recommended increased duties, two recommended that quotas be imposed, and one recommended that no relief be provided. The President decided in September to seek voluntary restraint agreements with nations that export steel to the United States and rejected both quotas and higher tariffs on copper imports. General Economic Setting This decade opened with the U.S. mineral industries struggling to deal with double-digit inflation, record high peacetime interest rates, and almost 7 years of oil-cartel-induced energy price increases that seriously affected the profitability of energy-intensive industries such as mineral production and processing.

Jan 1, 1985

By Joan Weinberg

The economy continued to expand during the third quarter, as real GNP rose at a seasonally adjusted annual rate of 3.8%, up from 2.5% in the second quarter (table 1). Continued job gains (see below), higher incomes, and an increase in installment debt, resulted in a nearly 20% increase in consumer spending on durable goods. Consumer expenditure on nondurables fell slightly, while spending on services continued at a moderate pace. Nonresidential fixed investment climbed nearly 24%, as producers purchased more durable equipment. Residential fixed investment was adversely affected by rising interest rates, which slowed new home construction from January to August, 1987 to a rate 11.2% below a comparable period in 1986. Net exports of goods and services deteriorated slightly, after three consecutive quarters of improvement. The volume of net exports has risen 15% for the year, contributing to economic and employment growth, but large price increases on imports have slowed the improvement in the nominal trade balance. Although U.S. goods have declined in price relative to foreign goods because of the devaluation of the dollar, faster growth in exports is hampered by austerity programs in developing countries, and emphasis in Germany and Japan on curtailing inflation and fiscal deficits.

Jan 1, 1987