The Economy: 1962 & Beyond

President Kennedy was bullish about the U.S. economy in 1962. "I think," he said at his press conference last week, "that this economy has more vitality in it than some of its premature mourners."

There had indeed been some mourners. They based their worries mostly on the fact that the nation had suffered some January hiccups. Although orders for durable goods were up by 2% over December and manufacturers had increased their orders for new machinery and equipment by 8%, personal income declined by .3%, industrial production by 1%, and the average weekly hours clocked by production workers sagged from...