STERLING AND EXCHANGE.
"So, Jong as..--the New. Zealand exchange in London remains unchanged, such increases in British prices, which are the direct result of exchange depreciation, would be passed on to New Zealand goods. The recent improvements in prices for some New Zealand exports are therefore largely the result of the suspension of gold. ; . "How far the upward movement will go depends on. the extent of British exchange depreciation and on- the movement of world prices expressed in gold. There is little to encourage confidence in the world situation, and it would be ■unsafe to "place any dependence on depreciation of British exchange. ■ "Jfc would be' futile to rely wholly on Tising export price 3to lift us out of depression.: The remedy- for depression lies in adjusting costs of production to levelsat which the whole of our resources of production;can be;employed in turning out goods and services at prices which the community can afford to pay.
"When this adjustment, which is already under way, is complete, industry •will again be profitable, confidence will return, both money and goods will circulate more rapidly, and the road to complete recovery;;_of - prosperity: will be open." ;.! '■■ I:-''1. '..-'- ;l ■■•■■'• ■'■■■■
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Bibliographic details
Evening Post, Volume CXII, Issue 138, 8 December 1931, Page 10
Word Count
194STERLING AND EXCHANGE. Evening Post, Volume CXII, Issue 138, 8 December 1931, Page 10
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