Production Costs

Dominion, Volume 25, Issue 293, 6 September 1932, Page 11

Production Costs

Sir, —Your correspondent “X.,” has written three letters stressing his views on inflated land values. All are with him for a general deflation, but in moderation. He, !•'fancy, carries his'point to extremes. He says he has been on the lookout for land for the last six months, and finds all above present-day production values. I for one do hope he and his like do not have things all their way. It is asking too much to expect good land close to local markets, schools, comforts and pleasures at bare production values. I hope such conveniences will continue to hold a competitive value quite apart from bare production value. Again, most of the superficial values were swept away after the 1921 slump. At the moment product values are congested, but all hope for an expansion for the benefit ox all ot US- Mo«t significant of all is the price of money. Does not this new rational voluntarily conversion loan predict in the near future cheap money, which in itself would mean lower rent costs—by how much no one yet knows. Rent costs are not the only costs to production requiring deflation. , .. Taking all these and other considerations into account, does it not appear as though some people are looking for a git. of some other poor beggar’s hard work.— I am, etc., SISSON Hastings, September 1.