EFFECT OF WAR

Ashburton Guardian, Volume 60, Issue 79, 13 January 1940, Page 6

EFFECT OF WAR

SMALLER SUPPLY OF GOODS. PRICES AND WAGES PROBLEM. COMMENT ON PREMIER'S SPEECH. (United Press Association—Copyright.)* LONDON, January 11. The emphasis laid by the Prime Minister in his Mansion House speech on the warning that the war must inevitably mean a smaller supply of goods for civilian consumption, and that the old standings of living cannot be maintained' has made a deep impression,in responsible quarters throughout Great Britain.

Renewed attention is given in the press to the danger and futility of allowing wages to run"a "race—necessarily a losing race—against prices, and-while it is recognised that some adjustment of wages for those on the lowest grade may be necessary to meet the rise in the cost of food, firm action to control rises in the prices of articles of consumption essential to wages is regarded as a necessary feature of any effort to check inflationary movements of wages. “The Times*' says:: “Mr Chamberlain made this perfectly clear in his speech. He referred to the Prices of Goods Act, designed to prevent profiteering in commodities, and to the •rationing system which has just been introduced to ensure that everybody shall share and share alike in necessary foodstuffs of which the supply falls short of the demand. He added that while there is no reason to suppose that the country will have to go short of anything which is necessary for health or efficiency,. we shall not hesitate to add to the list of rationed; commodities, if necessary, before it becomes, apparent.

“It is plain enough,” adds “The Times,” “that if we are to ease the strain upon our shipping and upon .our reserves of foreign exchange, then every one must economise as much as" possible in purchases of goods which have to be imported, and of goods in short supply. The course which the war has taken up to the present, so different from 1914, has made it difficult for some people to realise that we cannot expect to carry on our lives as if we were still at peace. The Prime Minister’s frankness, therefore, is all the more welcome.

“Ofir people are not less patriotic or less capable of self-discipline than those of our sister democracy and ally across the Channel. There can be no doubt of their readiness ijo accept any sacrifice and any restriction if they are assured that it is essential as part of the general plan for securing victory in the shortest possible time.” The British Ministry of Food is taking complete control of all meat supplies in the country on Tuesday. Meat ratioUing, however, will not take effect until a later date. British Official Wireless.