The twentieth annual report of the Bank for International Settlements, which reviewed the period from April 1, 1949, to March 30, 1950, noted that “despite much political anxiety, economic recovery has in general been achieved on a more substantial scale than seemed possible after the convulsions and destruction brought about by the second world war.” World production levels stood 35 percent above pre-war, with the peak increase of 70 percent occurring in the United States. Given this increased production, however, the Bank pointed out that the increase in the total national income had not kept pace with the increase in population. Industrial production had risen more than the output in agriculture and other fields. Yet reconstruction needs and increased military expenditures resulting from the uncertain political situation prevented the full benefit of the increased production to be realized. Patterns of trade had also been disarranged as, for example, between eastern and western Europe; and disturbing influences and other forms of disorganization created by the war still affected the monetary system. In addition to considering the significance of mounting production, the report dealt also with 1) the return to a balanced system as between national receipts and expenditures; 2) the approach to more normal price relationships; 3) foreign trade in 1949; 4) the effects of the 1949 devaluation cycle; and 5) intra-European payments and compensation.