206
BANKING STANDARDS
TABLE 170
CoMPARATIVE MEASURES OF REGRESSION TO TYPE FOR RATIOS OF TOTAL
EXPENSE To EARNING ASSETS, MEMBER BANKS, NEW YORK
FEDERAL RESERVE DISTRICT, 1923-1925
(Percentage Differences from Yearly Averages for all Banks. See page 293.)
PERCENTAGE DIFFERENCES:
(First Year of Each
Pair of Years)
ve f
Position
Groups
Average
40 and over
30 and under 40
20 and under 30
10 and under 20
Tnder 10
Above
Below
Under 10
ro and under 20
20 and under 30
30 and under 40
10 and over
Average
Te
All Pairs
D1rrERENCES BY PAIRS OF YEARS
1923 and 1024
1924 and 192%
Second
year
less than
First
year®
— 2.7
—15.0
—20.0
- 7.1
— 0.5
~~ 1.8
Number
Second
years
'ess than
First
yranpa®
Number
Second
year
les: than
First
vear®
>
~
Tr
+ 1.4
+ 1.9
+ 4.3
+ 5.0
%= 0.0
+ 1.0
*The signs relate to the prevailing changes in the ratios themselves compared with the averages in the
first and the second years, minus (—) indicating that the ratios decrease, and plus (+) that they increase,
the larger the difference between the deviations in the first and
in the second years. That is, the ratios regress to type, the
types in each of the years being the average amounts for all
banks being considered. Conditions essentially duplicating those
just described for the New York district banks were seen to
characterize the member banks in the First district.}® Are these
results due to methods of manipulating the data? They did
not appear to be in the case of the Boston banks, inasmuch
as similar results were secured by different methods, and there
are equally valid reasons for believing that they are not so
in the case of the New York banks. This conclusion follows
because of the fact that (1) the same phenomenon appears
when, as in the case of the Boston banks,!! the deviations in
the first and in the second of each pair of years are taken from
the respective city-group and volume-group averages, and (2)
when the ratios are studied without respect to averages as
standards of reference.!?
"10 See Table 168. 11 See Table 160. 12 See Table 170.
