SILVER SHORTAGE.

Taihape Daily Times, Volume XI, Issue 3405, 9 February 1920, Page 7

SILVER SHORTAGE.

THE 1/4 SHILLING. AND GERMAN MARK FOR A COPPER"The record price of silver, the English shilling now being intrinscally worth from fifteen to sixteen pence, is entirely due," stated Mr Harold Beauchamp to a Times reporter on Thursday "to the enormous shortage of silver, and the strong demand for it in those countries, such as Egypt and India, which have so large a silver currency. The same difficulty is occurring in certain parts of the Continent of Europe .where silver in the past has been very largely used. For example, when I was in France some two or three months ago, it was quite impossible to get from a bank more than ten francs in silver at a time, as the intrinsic value of the franc was greater than its face value. Considerable quantities of silver francs had been hoarded in France, especially - by the peasantry, who are renowned for the length of their stockings.

“As to the German mark, the last quotation I saw was on the basis of. 1 .1-3 d, which would represent a reduction of 10 2-3 don ‘the pre-war value. This has had the effect‘. of causing: an enormous number of people in different parts of Europe f 0 flock to Germany, where the cost of living is now ‘lower than in any country on the Continent.” “T'ha.t is astonishing.” said the “Times” representative.

“Yes,” replied Mr Beauchamp. “It is brought about by the ability of these immigrants to sell to -great -ad~ vantage their dlrafts on countries to which Germany is indebted. They are able to realise roughly 170 marks to the pound sterling, as, against. 20 to the pound before the war. In short. after making allowance for the {great rise that -has occurred in all desci-iD—-iiong of commodities. there is still a big margin between the price they have to pay for goods and the Dl'ofi~‘ they can get on the sale in Germany of their drafts on other countries."

LEAGUE OF NATIONS. ME LLOYD GEORGE'S TRIBUTE TO UNITED STATES. NEW YORK, Feb. 5. The New York Times' London correspondent interviewed Mr Lloyd George, who said "Viscount Grey's letter was in the nature of a report to the British public upon what he had observed in the United States. Whether the United States joined the League cf Nations or stood aloof, the people of Britain and Europe were under a debt, of gratitude to America which they could never repay. A MILITARY DINNER. LONDON, Feb. 6. Mr Churchill gave a military dinner at the Military Service Club. The guests included the Prince of Wales, Lord Haig, Sir H. W. Wilson, and Generals Rawlinson and Home, the occasion being Lord Haig's resignation, and the desire of the Prince to meet the General Staff before his departure for Australasia.