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Hokitika Guardian, 17 September 1932, Page 4

An encouraging sign of the prospects for an early improvement in trade conditions generally is the recent increas* in the price of practically all raw material's, considers Professor A. H, Tocker, professor of economics at Canterbury College, who stated that there were undoubtedly still great difficulties to be overcome before ‘a complete world recovery could be assured, but every upward movement in eonfldenoe, ©very increase in price and every expansion of trade tended to lessen those difficulties and to make recovery, easier. Wh.il© many people have been preaching the necessity for inflab-on or reflation, as a remedy for the depression, they have too often omitted to notie© that others were quietly practising it. " In the United States, particularly, there has been k considerable, expansion of money p; credit during the last year or two. In London and other ©.'nitres the rapid | lowering of the hank rates, which in the Case of . the Bank of England fell from six. per, cent to two per cent between ‘February and July, has given a strong stimulus toward credit ex- , pension.. Meanwhile there has been a I marked recovery in confidence and ! there is now much evidence that a defiliite improvement has begun. In almost every centre for which records are available share- prices are rising, , which suggests that investors are becoming increasingly confident labout the ■ ability of industry to earn dividends in the future. In addition, an upward movement in prices has begun and lias already extended oV-.r -a wide range of commodities, inducting metals and raw materials, price movements of which are usually regarded as being sensitive of market- trends.