INTERNATIONAL AMITY.

Auckland Star, Volume LXVI, Issue 58, 9 March 1935, Page 2 (Supplement)

INTERNATIONAL AMITY.

Dr. Keniper Simpson, the American economist, in "Introduction to World Economics ,, (George Allen and Unwin) has gone thoroughly into monetary and commercial conditions in America, France. Germany and England, and makes a strong case for the wiping away of international tariff barriers. Of the four countries America can best afford to be selllsl) for she exports less in proportion to home consumption than other countries, and in "taking in each other's washing" the States are best equipped for (survival. In short, each country depends upon the others commercially, and no one country ean so adjust monetary and tariff affairs that she can recover from the po><t-war depression without outside aid. The complications of individual banking pale before the interwoven net of industry and basic products. We may wrest a partial recovery from the commercial confusion if we see opportunities unrecognised by. opponents, iis eagerly set on recovery as ourselves, but unwilling to help Dr. Simpson vieiolls a general international agreement, equalising tariff and exchange and allowing production and consumption to cancel out in practice, instead of "let them fight it out and the better man win.' . The economist suggests that friendly competition in production (demand adjusting prices) would have a similar result, but all would si)are in increased prosperity as a result of unselfishness. When the two clowns quarrelled neither would be the first to drop his guard. Remembering the arms reduction and failure, it is obvious that a congress of economists from the four countries must agree and decide simultaneously.