SERIES CORRELATED WITH EXPENSES 22° 
2. TOTAL EXPENSE 
Let us begin our analysis by determining the percentage 
amounts and the directions by which the yearly district ratios 
in each of a number of series deviate from their seven-year aver- 
age levels, the classification of the districts being made according 
to the directions and percentage amounts by which their ratios of 
total expense deviate from their own seven-year average levels. 
This is the conventional form of analysis found in earlier chap- 
ters. That is, what is now done, in the case of total expense, is 
(1) to classify the percentage amounts by which the ratios in 
each district each year deviate from the respective district aver- 
ages for the years 1919-1925, (2) to total the frequencies, and 
(3) to compute for each dispersion group the average amount of 
deviation or difference. Such a summary is found in the stub 
classes (lines) of Table 138. For the districts having the re- 
spective classified deviations of ratios of total expense, the net 
percentage amounts of deviation in a number of series from their 
district averages for the period 1919-1925 are then calculated. 
Such percentage amounts by sign are shown in the caption classes 
(columns) of Table 138. 
It will be observed that the basis of selecting the districts in 
order to determine the net amount of deviation is the nature and 
percentage amount of their deviation in the matter of total ex- 
pense. In earlier chapters where an analogous method was fol- 
lowed, the basis of selecting the districts, in order to determine 
the type and net percentage amounts of dispersion of ratios of 
total expense, for instance, was the classified percentage amounts 
of dispersion with respect to loans and discounts, deposits, and 
50 on. Our interest then was in the types and net amounts of 
deviation in total expense associated with variable amounts of 
deviation in other data; our interest now is in the types and net 
amounts of deviation in other data associated with variable 
amounts of deviation in total expense, the amounts, in all cases, 
being measured on a percentage basis. 
But what are the findings, given in Table 138, from such an 
analysis? Briefly, they are as follows: (1) In years and districts 
in which ratios of total expense to earning assets are high or low 
—that is, above or below the district levels for the period 1919-