Industrial Capacity of Utilization in Factories Lingering Near Historic Lows

Industrial capacity of utilization, which tracks manufacturers' industrial capacity and how much of it is being used remains at some of the lowest rates since the mid-1980s. The latest numbers available at press-time were not encouraging. According to the Federal Reserve Board, total capacity utilization edged down 0.2% in January, to 74.2%, a level well below its 1967-2001 average of 81.9%. Because investment is expected to remain weak, capacity is projected to expand only 1% in 2002, the slowest rate of increase for this statistic since it began in 1967.