Dear Sir

Bay of Plenty Beacon, Volume 11, Issue 90, 14 October 1947, Page 4

Dear Sir

Letters to the Editor must be clearly written on one side of the paper only and where a nom-de-plume is used the name of the writer must be included for reference purposes. The Editor reserves the right to abridge, amend or withhold any letter or letters.

WILL GOVERNMENT DECLARE GOLD “BLACK?”

Sir, —It would draw attention to an article by Mr Peter Whitney (Herald 25/9/47). Mr Whitney says: The famous gold hoard of Fort Knox —its official name is “United States Gold Depository.” To assume that this gold belongs to the United States Government is a fallacy (hypothetic) in that, 85 per cent, belohgs to private individuals. These individuals having put ‘key’ men into the control of our respective Governments! This control is foreign finance, which should be in the hands of those local governments ..(The Body Politic). Mr Whitney refers to Mr Morganthau, as quoting Roosevelt for raising the price of gold. It was Bernard Baruch and Morganthau who were the instigators for the rise in gold and the Bretton Woods pact, Bernard Baruch being chief advisor and confidential secretary to the Roosevelt Government. So then the cry arose: the Wall Street bankers had bought all the gold, at 28 dollars per ounce and raised it to 35 dollars. This through their political administration reduced the sterling £1 down to 8/- or thereabouts on the American market. President Roosevelt was a prominent member of the Wall Street group, and a bankers’ banker, so we cannot give him credit for good intentions. When American goods reach saturation point (they are about that now) there will be poverty in the midst of plenty. Therefore I would ask: Why should local production be controlled by foreign exchange? I am one of those, critics who Mr Whitney alludes to, who say that gold is redundant, and while control of our exchange is from WallStreet it is a distinct fraud. Paper currency would be equally as good under local national authority for all purposes, provided it is based on production (goods and services), the ‘price’ factor being ’time’ plus supply and demand. A reduction in prices in relation to purchasing power is not only to our.national economy, but is' the only way; to save this country from impending disaster. This can only be done under “Sane Finance.” Yours etc.,

W. BRADSHAW.