NORMS AND TRENDS IN GROSS EARNINGS 75 
TABLE 52 
PERCENTAGE CHANGE FROM YEAR TO YEAR OF YEARLY DISTRICT 
RATIOS OF GROSS EARNINGS TO EARNING ASSETS IN ALL MEM- 
BFR BANKS BY YEARS AND FEDERAL RESERVE DISTRICTS 
FEDERAL RESERVE DISTRICTS 
Average 
{All Districts) 
Boston. . .. 
New York. ... 
Philadelphia. 
Cleveland... 
Richmond. . 
Atlanta..... 
Chicago. ... 
St. Louis. ... 
Minneapolis. 
Kansas City. 
vallas....... 
San Francisco... 
[919 
to 
i920 
> ra 
DEeRCrN=* re (IANA spar Vs 
"020 
te 
rQaT 
-—~Aae 
“nag 
+ 
+12 60 
Tr 30 
20 
Ng 
pra Veag 
~~ 
~ 
1924 
‘eo 
1028 
-6 
10 
4 
aq 
a 
the ratios decreased. In spite of this lack of uniformity, the di- 
rections of change from year to year are markedly consistent in 
the various districts. 
Another aspect of the year-to-year changes is of interest. If 
the respective seven-year district levels are taken as a base from 
which to measure the yearly positions—plus and minus—of the 
ratios in each district, and, as thus classified, the directions and 
percentage changes from year to year in the ratios are measured, 
it is found, as shown in Tables 53 and 54, that (1) ratios which 
are high or low in a given year tend to decrease or to increase, 
respectively, in the following year, and (2) the net rates of in- 
crease or decrease vary directly 
TABLE 53 with the percentage amounts 
ToMPARATIVE Positions anp Year-ro- by which the ratios are high 
YEAR DIRECTIONS OF CHANGE IN Dis- or low 
TRICT Ratios OF Gross EArN- * . 
NGS TO EARNING ASSETS The foregoing results seem to 
be fully in accord with the prin- 
ciples underlying the determina- 
tion of rates of interest and of 
“other income.” The earning as- 
sets of banks, composed of loans 
and discounts and of invest- 
ments, are the principal sources