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Hokitika Guardian, 4 March 1931, Page 4

Tukiu: are those who profess to see the silver lining already to the cloud of depression hanging over the Dominion. An optimist studying the signs and portents of the trade barometer, expresses the belief and conviction that there are encouraging indications that tire tide of commercial adversity lias turned, and that the ilo-od will sweep forward gradually to a satisfactory level of proxpoiity. New Zealand butter on the London market has risen during the past fortnight from 112 s to 121 s. Cheese is also slightly higher in price. The hist Wellington wool sale recorded an advance of a haltpenny on sonic grades of wool. These facts are significant to New Zealanders, for the prices of dairy produce, wool and meat are the barometer upon which our commercial and industrial well-being depends. Economists assert that a per od of depression is often healthy, or at least is essential for industrial health. It restores the proper balance of the industrial organism, whereas a period of activity is often one of prosperity in appearance more than in reality. This Dominon is now in a pos'tion to test the accuracy of this theory, for it has passed through aji era of amazing prosperity and now has plunged into the most disastrous “period of depression” in its history. The next three or four months should prove whether the test by lire lias restored our industrial health. The signs are propitious, and if our captains of industry and of commerce read them aright and act on them with confidence there should soon be an improvement to record. There is a natural tendency in a crisis for business men to hesitate to engage iu new enterprises, and to be cautious in the conduct of the old. Those who are stiIII doubtful n.re reminded of the Prime Minister’s assurance that, “'givriii the support -of all .sections of the community, it should not he long before the economic machinery is hack into good working order.” Merchants and manufacturers can give this r,import by a definite lowering of prices. Appeals of retailers are apt- to fall upon deaf cars if the prices ot their irood' at the source are maintained at present levels. It is well known tint in sme businesses not affected by awards of the Arbitration Court wage reductions have been enforced for some time, yet me prices of their goods and services do not appear to have fallen to any appreciable extent. AAitit the almost certain prospect of awards being reviewed by the Court, it is reasonable to expert that all businesses concerned will gladly adjust prices accordingly.