The Guardian And Evening Star with which is incorporated the West Coast Times THURSDAY, JULY 28, 1932. A STABLE CURRENCY.

Hokitika Guardian, 28 July 1932, Page 4

The Guardian And Evening Star with which is incorporated the West Coast Times THURSDAY, JULY 28, 1932. A STABLE CURRENCY.

The question of currency in the British Empire its one of the most difficult yet important subjects tq oonrc lip at. the Ottawa Oonteremce. In the Old World,' exchanges -are, greatly confused by reason of the restrictions on gold export. There are now only six* coua.tr tes on the gold standard, namely United .States-, Frame, Netherlands, Belgium, Switzerland and South Africa. Dhe to this and the hampering l of exchange thereby, countries outside the gold standard ore restrictng commodity imports in various Ways for the double purpose of par teeting their exchange positions and home industries. The effect of this restriction of trade adds directly to the intensity of the world depression. The view is expressed by the. National City ißank of New York that if .the countries which are off the gold bast?, should remain off and' give up their gold reserves to the othor countries* the norouu effect . sboulcjl. be to eas.* the credit position in'.this latter, and promote a rise Of prices un-t-.l a gleraera--] Readjustment was < made, It if acknowledged that the ecedi.t strain everywhere in the last year, has been because of -a loss of confidence rather .than heavy demands on business. It is a-lso'.,cqnsiderei c l that permanent ease or stability is an ideal rather than an actual eitate, for the business world tends to work up to the limit of- credit expansion whatever its monetary or credit VsystenH may be. In other words each country plans it own system in the light of its trading conditions, and with the sole desire for. stability. The New York critic goes on to say the monetary affaii’B the world over arle- in a state- of chaos almost, and the state o-f business ■:

measured by a corresponding condition. One reacts on the other, and each is responsible for the state of trade Finally, there is the conclusion that , “the war is responsible, primarily tor .the state of world finance by having, thrown the highly organised modern, system of industry and- finance intc confusion. These ne,suite have c • more both in human / suffering \ and the war -itself.’’ The cure is said to be the need for mutual understanding and a- spirit of 00-bperatian between the trading nations, , all classes and 7 'groups of people within evlsry country. The.meeting,,at Ottawa presents the opportunity to' the Empire to work up that spirit of, co-operation within the Dominions as a start to Reestablishment. 'fcocihl progress owes everything to industry, . and if employer and employee would, Reialise • that fact and work in closer co-opera-f lon, the, position would be relieved the quicker How often in the present times of 'difficulty do we vead of the revolt of labour in some one industry or another. Every such shock delays the recovery the country so n 1 leds Instead of strikes we should have more conciliation, and the settlement of disputes at a round table, and not as sooften happens at the expense of tte suffering wives and families. Thir, feeling of oonetant labour war should give way to ft ' realisation that there is the onus on all ranks to-endeavour to pull together for the, common good. As Ottawa -developes, We hope t-b spirit will prevail - among the - constituent Dominions, ' and if so their the groat’er ho-pb for greater things a the outcome of the historic Conference