Merry Christmas

The U.S. will be able to buy some new radio sets for Christmas. So manufacturers promised last week, after OPA boosted ceilings on radio parts. But no consumer would have to pay more than the 1942 prices. So OPAdministrator Chester Bowles promised. The increases, said he, will be absorbed by distributors and dealers. To encourage production of cheap sets, the biggest boost (15%) goes on radios wholesaling for less than $11; the lowest (10½%) to sets wholesaling from $30 up.

This boost came only after a long wrangle between the parts manufacturers and OPA. Price increases had first been granted about six weeks ago, but radiomen found them too low, decided to stop shipping parts until they got more. By almost doubling the original increase, OPA made the manufacturer "reasonably happy."

But it made the retailer squeal. Ordinarily, he works on a 25% mark-up on low-priced radios. Under the present policy of making him absorb part of the increase, he can get only about 10%. But most radiomen hope for an unprecedented sales volume to make up the difference. Estimates on the number of radios which will be available by Christmas range all the way from 600,000 to 3,000,000 sets. Best guess: probably below a million. The industry grumbled that this will be far less than the demand, blamed OPA for holding out too long on its ceiling boost. OPA cracked back: the industry had been so slow sending in figures on which OPA could base prices that OPA had to go out and get some of them itself.