BUSINESS MAN'S COUNSEL

Evening Post, Volume XCIX, Issue 123, 25 May 1920, Page 6

BUSINESS MAN'S COUNSEL

In his speech 'before the Chamber of Qommerce to-day, Mr. M. Carr, as chairman of that body, scanned the face of the business sky and found there; disquieting signs. He' first pointed to the difficulties attendant on importing—long deliveries, phenomenal prices, and restricted outputs; and then reminded his hearers of the termination, close at hand, of the Imperial Government- purchases of New Zealand produce. He saw clearly, as many but not all of the producers have seen, that these- Imperial purchases proved a "Godsend to New Zealand"; and the sum of his remarks or trade is ] that extreme financial care will have to' be exercised in the Dominion in respect to both importing and exporting. The cablegrams show thaffprices are unsteady; nor is there any assurance that present high rates for New Zealand primary products will be maintained. On the other hand, the reaction may be but temporary (as has happened before). The world is still hungry for wool, meat, and dairy ■ .produce, and there is no evidence that the demand is lessening. It is the prices that are' preventing larger consumption. As with the export so with the import trade. Mr. Carr very truly says:—"We are experiencing prosperous times, but there is no doubt that the apparent prosperity is artificial." Already extreme prices have had in New Zealand a decided effect upon consumption of imported goods. There is much buying " from hand to mouth," as the term goes, on the part of both merchant and retailer. So, long, as their, customers, the general public, confine this action to inessentials, the effect of high prices wiD be to that extent salutary. There is much in Mr. Carr's speech, insofar as it counsels caution, that may be taken to heart by the public at large as well as by the business men to whom it was addressed.