III. Surplus Account. .$1,798 26 Balance at end of year.. 1,242 12

Deficit for year........

$3,040 36

Surplus at beginning of

year

....

.$3,040 38

$3,040 38

As stated in the last report, the bills for membership dues sent out in September, 1909, were for four dollars instead of three dollars, covering a year and a third instead of one year. This was in accordance with a previous vote of the Association, the purpose of which was to make all memberships run for the calendar year. This was to the advantage of the treasury for 1909, but to the disadvantage for the present year, there being no regular membership dues coming in in September.

There being practically no cash balance in the treasury at the beginning of the year, the deficit incurred could be met only by selling one of the bonds or by borrowing. Though the Treasurer had been authorized to sell bonds if necessary, he decided to negotiate a temporary loan until the financial situation for the year 1911 could be estimated. The Cambridge Trust Company holds a note for one thousand dollars ($1000.00) against the Association. In view of the improbability of a surplus in the near future, there seems to be no further reason for this policy, and it is the Treasurer's purpose, unless otherwise instructed, to sell two of these bonds at an early date. This will pay off the note and wipe out the present deficit, and enable the Association to start its new publication enterprise unhampered by old debts.

The revenue from membership dues, and also the gross receipts of the Association for the past six years, are shown by the following table:

There is a slight falling off in the membership dues as compared with the year 1909, owing to the fact, already cited, that there were no membership fees falling due in September of this year. This was almost but not fully made up by the fees of new members added during the year. Conditions ought to be very much improved during 1911. In spite of this decrease in dues, however, the gross revenue is larger than ever, owing mainly to the increased sales of back numbers of our publications.

The following is the Treasurer's forecast of the probable expenses and income of the Association during the year 1911:

Office of Secretary-Treasurer..

Publication of Supplements, i. e., Proceedings, Handbook,

Index, etc....

$2,500 00

1,500 00

800 00

600 00

250 00

800 00

300 00

$6,750 00

1,500 00

1,000 00 $9,250 00

Total income on basis of present membership..... Probable increase of members, 300 at $3.00....

Probable Deficit......

1,100 00

$6,086 00

900 00 6,986 00

$2,264 00

As shown by this forecast, the expenses of the Association are increasing by leaps and bounds. This is due mainly to our enlarg ing plans with respect to our publications. There seems to be a *This does not include the $109 50 received on the Guarantee Fund.

disposition on the part of the Association to go forward with this policy of expansion rather than to begin a policy of retrenchment. But expansion costs. In order to keep up this policy, there must be a larger income. There are only two ways of securing this larger income. One is to raise the membership dues, the other is to increase the number of members and subscribers. The efforts of the Treasurer in this direction have succeeded reasonably well, owing to the efficient coöperation of so many of our members. If this coöperation is kept up, it is altogether probable that our income can be increased during the next three years sufficiently to cover all our expenses.

Respectfully submitted,

T. N. CARVER,

Treasurer.

The report of the Auditing Committee was read by Professor W. M. Cole, Chairman.

To the Members of the

Boston, Mass., December 24, 1910.

American Economic Association:

Your Auditing Committee has examined the books and audited the transactions of the Treasurer of the Association for the year, December 27, 1909, to December 21, 1910. The assets and liabilities exhibited on a balance sheet of the latter date as well as the statements of "profit and loss" and "surplus", attached hereto, have been verified in detail.

$1,242 13

Balance of Surplus at end of year, per balance sheet....

On motion, the reports of the Treasurer and of the Auditing Committee were accepted.

The report of the Publication Committee was read by Professor Hollander, Chairman, as follows:

REPORT OF THE CHAIRMAN OF THE PUBLICATION COMMITTEE.

There has been no change in the activities of the Publication Committee during the current year. The Economic Bulletin has continued under the direction of a special board of editors, subject to the ultimate control of the Executive Committee. The Annual

Proceedings have been edited by the Secretary and printing of manuscripts-monographs as well as Proceedings-has been directed from the Secretary's office. Consideration of the future publication policy of the Association, as heretofore, has been in the hands of a special committee on publication, whose report will be submitted to this meeting. The duties of your committee have accordingly been confined to the selection and general editorial supervision of the quarterly monographs edited by the Association. The issues of the year were as follows:

1. Proceedings of the Twenty-second Annual Meeting, pp. 383. Handbook of the Association, pp. 79.

2.

3. "The Child Labor Policy of New Jersey," by Arthur S. Field, pp. 229.

4. "The American Silk Industry and the Tariff," by Frank R. Mason, now in press.

Your Committee again ventures the opinion that the issues of the year maintain the standard of monographic publication heretofore established, and also to renew the belief that it will be doubtless possible to continue this with indeed, as heretofore, some considerable degree of improvement as the number of monographs selected becomes less and the field of selection greater.

In accordance with the action taken by the Association at the last general meeting, the duties of the Publication Committee are transferred to, and will hereafter be performed by, the Board of Editors of the newly established American Economic Review. Respectfully submitted (on behalf of the Committee), JACOB H. HOLLANDER,

Chairman.

On motion, the chair was authorized to appoint a committee on nominations and a committee on resolutions. The chair appointed for the committee on nominations Professors Seligman, Taussig, Ely, Gray, and Irving Fisher; and for the committee on resolutions Professors Hollander and Farnam.

The Executive Committee reported that its first choice of a place of meeting in 1911 was Washington, and its second choice was Atlantic City.

On motion, the report was referred back to the Executive Committee, with instructions to consult the affiliated associations now meeting in St. Louis as to their preference.

On motion, it was voted to adjourn to meet Thursday, December 29, at 9.30 A. M.