Ashburton Guardian Magna est Veritas et Prævalebit WEDNESDAY, JANUARY 26, 1938. THE SINEWS OF WAR.

Ashburton Guardian, Volume 58, Issue 90, 26 January 1938, Page 4

Ashburton Guardian Magna est Veritas et Prævalebit WEDNESDAY, JANUARY 26, 1938. THE SINEWS OF WAR.

Far distant is the end of the conflict in the Far East, according to the Premier of Japan, who appealed for a dauntless spirit to meet still greater sacrifices. On the other hand the Minister of Finance said in the Diet that Japan was progressing in spite of the war. The Government planned to promote exports and gold production, regulate imports, control consumption and rising prices, utilise raw material substitutes, and check speculation. If the conflict proves to be as prolonged as Prince Konoye indicated, his country will need all the advantages that his colleague claims. Some weeks ago a leading financier in Tokio revealed that the position is not as strong as a warring nation desire's or requires. For months past stringent measures have been in force to mobilise the financial and commodity resources of the nation in support of the China campaign. At the beginning of September the Diet, in a short special session, voted supplementary estimates of 2,022,700,000 yen for military and naval expenditure in China. This sum is equivalent roughly, to £119,000,000 sterling at the present rate of exchange. In addition there have been several bond issues of magnitude in recent months, and, in spite of the existence of something like a war-time boom, these Government securities have not been so enthusiastically received as the authorities would like them to be. As a further financial measure a tight hand has been kept on general capital issues. To assure funds for armament and similar industies, capital expenditure on such enterprises as textile mills, breweries, great department stores, hotels and restaurants has been brought under strict control. The regulation of imports has long been in force. It was recently announced that a further cut in the quota of wool to be admitted to the country was intended, this policy apparently leading to the decree, reported yesterday, that school children and college students are to wear fibre clothing. All these measures are characteristic of the needs modern war creates. It becomes a test of endurance, financial and economic, as well as in the field. Thus the accuracy of Prince Konoye’s forecast, >. so far as Japan’s resources constitute one of the main factors, rests upon the measure of truth that is contained in the Finance Minister’s assertion that the country is prospering.