BRITAIN’S JOBLESS

Hokitika Guardian, 20 February 1933, Page 3

BRITAIN’S JOBLESS

COMMONS DEBATE

MR N. CHAMBERLAIN’S REPLY

.(Juitpd Press Association—-By Electric

J. eiegrapu—Cupyrigi! L,

RUGBY,' February 16

In moving -a uabour Party censure moi/iO'ii iAi me ;Uoye;xnmonir for its iiamiling of tile unemployment ... problem, Mr Ueo. .La.ll* bury (iLeader), in me House of Commons, otdt-icised tiie uirilf poi'icy or the Government, and i.s refusal to embark on. a wide'utility wcnenie lor the unemployed. l.li reply, -\lr Neville phapilberlam (Chancellor of the Exchequer) argued '..nut while much so-called utility expenditure wan extravagant, developments were' being made. He recalled the. course of events since 1930, when, he said, confidence had been badly shaken. That confidence had been largely restored, so that they were to-day embarrac.ied by a sort of “flight to the pound.” There had been a return of confidence, due to their cessation of borrowing to balance, the budget., and to active steps to protect their trade balance and stimulate industry. He said the Ottawa Conference had restored confidence, and that fhe loan conversion operations had cheapened money. They must, if possible, raise the gold prices, .and, in any case, they„ must raise sterling prices. The ■success of .voluntary meat regulation arrangements, which were made at the . Ottawa' Conference, encouraged them to think that these regulation arrangements lpignt be extended to other com- : inodities. .Cheap money and international co-operation would heop toward easy credits. Low preferential rates were an essential precedent to a trade recovery. Air Chamberlain said the Government concluded that expenditure on public works as a remedy lor unemployment had failed lamentably. Between April, 1924, and September, 1931, seven hundred millions had been spent thereon, and it only touched the fringe of the problem. Nevertheless, the Government would not deter the municipalities from obtaining, loans for , usual .public works. The Chancellor; claimed the Govern-! ment’s financial.-policy for ' the past year had restored confidence. , “In stead of Britain having to borrow ' foreign money, as ill September, 19.31,” he said, “there will ho a drive on ithc pound, which, without the exchange equali ation found, might lead to fluctuation in sterling, causing great enibarraeßuiont tft traders. The.. Import Duties Act enabled us to regain control of . our home market”’ Mr Chamberlain pointed out that the excecs "of imports over exports had been reduced by one hundred and twenty millions. The success' of the Ottawa Conference and cheapening of money following the loan conversions, all helped,' hut’ the world was still experiencing 1 checks and disappointments.

He was disappointed and surprised that America had not agreed to the postponement of the December debt payment, but lie saw no reason to despair.

“We are making progress with other nations on the subjects to. be discussed at'the World .Conference,” hesaid. “The Goyermrent’s steps arc justified by the fact that other countries laire suffering worse than Britain,’ whoso exports in. 1932 were slightly better than in .1931, while tlfc German, American and French, ' . exports, all dropped.” ’ Panicky, hysterical changes jn policy would not' restore trade. He alluded to maladjustments. which had resulted in. „ world-wide unemployment. He questioned, he said, whether could be conquered so rapidly and co completely than any reduction of unemployment to coifmratiyely small figures could be anticipated “within, shall I say, ten years,.” Afr Churchill deplored the hopeless prospect offered by Mr Chamberlain. Tt was that of rim ply .allowing world events to take their course. Sir H. Samuel said that the fact of other count pies having worse fortunes was. no consolation to us. The Government must overcome its .inertja, and. must attempt at least a partial alleviation of the unemployment, oven though this . was , admittedly largely due to international railses. ,