Evening Post. MONDAY, APRIAL 18, 1932. AN INSPIRING RECORD.

Evening Post, Volume CXIII, Issue 91, 18 April 1932, Page 6

Evening Post. MONDAY, APRIAL 18, 1932. AN INSPIRING RECORD.

' Two outstanding dates in die brief but momentous history of Mr; MacDonddY second National Government are die 17di when .die Abnormal Importations (Customs Dnties)" Bill' was introduced; arid ffie-^dr Februaryi when m |^nefal"lariff:|)oiicyjo| die Gov^ ernmerit : -3vasiariripunced.:= It was a a^:l^g; -for- -the^ Government^ watefpr of :restSring die. Jbalance of trade, audiorised die imposition of import "duties up' to 100 per jcent. ad valorem, it was able to get in Mr. Runciman a vPresi|dent of die Board of Trade who ravowed- himself a -bigoted .- Free Trader. :It was less 'paradoxically appropriatevthat they had,in^Mr. Neville a Chanpellor of jp|heqji^3whof by •heredity, by | convictiorii '■-] and ■> by ability ~ was marked out as die ideal man to take charge of die broader aspects of dieir tariff policy. Both men have added to dieir already high reputations by the manner in which they discharged these responsibilities, but especially Mr. Runciman;; Mfr Chamberlain will have Kis second great chance tomorrow,^ when is,to introduce whas wiH ire^the-first" Protectionist" Budget titat Britain vhasl-seen for "about three ; generations^ arid may even be able to knock off that extra 6d which, after declaring that it would be llie last straw, Mr. Snpwden tbi to the mepme tax. in September ;la<st. !".There" '&& . no .' 'such "'_' great second: chance f*ot nor does He seem:; to;:rifetf' it: '.; rfeiihas been scprug'!BU.:al6nj^';^e{]ii4Q,^;'Eyen in die debate "oh Mr.' Chariiberlain's tariff statement-T-notU an inviting subjectiv-pne niight nave for "a 1 Free; Trader who was pledged to support^^- . Pibtectlon-—Mr., Runcirhan^ made ; a;deep,;impffession ';■: and added :^atiy.;tosn&:.laurels;J,;. i;.'lri i its review <£■ die/debatevin 'SFheiWeek; at ;;^^ttriinster":^the '*• Spectator" .of diei i^j^bruairy; gryfiS^jtlie first: place: among speakers on tire first day to Major Elliot, die Financial Secfetary'to"Vthe Treasury, and sohal triumph" for Mr t Ruhcimaru

;'There can:rJii6iiJi.oi 3oubt,:.rr?ay's th&! ."Speetsitor^thathe Has an-iinrivalled :8?M l1;;!? o fls^' -^r Common's, because' I>pth fiis'.'poiitfoji, ihis manner, and hieup.rolonged biifliness experience .make* hjm' something 'new in ;th.e .way.of Minfeters/He "went; 'straight to' '|$c. most :pr:omißjiig.; justifldation o^' the" Government's rjiropbsa'ls,-Taamely,.-that they-ate aa essential part %£ .tbo; 'airfgnce/'oi"ffie:--^^i'-;.-i|M4;.-':ittstißca*.;: tighy of •"course,' can only -staid.-ohrthe-viewthat^th^Jpbund is not yet'saf p and oigit to be ina'de. safe;--; If is therefore a direct challengo botii to' optimists :and rinflationistSj; and- it" is -hardly too nxiteh id say 'that the fiscal controversy has'reallj!: beeoine d curreiiey^con.troversy.' Ought sterling:to be; stabi--lised?';llr." Runciman answered !y.es; because only "so could sterling become a new' basis for the exon'angeT of goods, I i.e., a basis for any trade at all, whether free or not. This argument consolidated moderate opinion in the House,and this House is moderate in opinion,' though the efforts of new members to-' express it during the debates have not' so far been irapressive. . ; ' :

The great importance of Mr. Runciman's speech on that occasion received due appreciation in die halfcolumn report which was cabled to us, but dies best of summaries cannot convey die.personal impression that a speech may malce. "Jhe :first of die two points indiat report which stood out most-clearly; was,diis: V '.'■ .",'■.■■. .-'.

TheTiTwas a constant drain of. capital' leaving the. country.. The French balance.s in Londoa.were dwindling weekly. . . . Gold adjustments Tyrere impossible with gold at the service of only. tWO;. countries., ;.r.';:.- :: .rrvi"' '■'••■.-

The second of Mr. Runciman's pointswas in answertb the gloomy ..view which ; his colleague,-; Sir Herbert Samuel, had taken of the prospects of the Ottawa Conference. :

It is useless, "Mr. Bunciman retorted, to despair of the Dominions giving us a quid pro quo until we hear s their cage. The first of these points shows that, in the opinion of this open-nsinded and far-seeing business expert, the tariff alone will riot suffice to complete the security of British trade. And it suggests that, whether the fiscal outcome of the Ottawa Conference justifies the fears of Sir Her-: bert Samuel or ho.t, the currency, problem is- another matter -of supreme importance to the whole Empire and one on which the absence of the con-

flict of interests presented by the tariff problem may make united and drastic action a less embarrassing task. Unlike Sir Herbert Samuel, Mr. H. H. Stevens, the Canadian Minister, of Trade and Commerce, is not a pessimist regarding Imperial preference, yet in the speech which was reported oh the 6th instant he expressed the opinion that tho most notaMe service which tho British Empire could render to a perplexed and harassed world would bo for the Commonwealth to find a solution of tho currency problem. The steady growth of opinion in support of- Mr. Stevens's ■■ conclusion strengthens the conviction that the one indispensable member of the New Zealand delegation is the Minister of. Finance. Mr,- Runciman's references both to the Ottawa Conference and to the state of British trade in the speech which was reported on Friday were distinguished by the. candour and the balance that he has accustomed us to expect. A ring fence of high protection round the whole Empire is. not'included in the National G.ov; ernmentfs ideal of Imperial preference. ' ■?: '■./'.■ .';...''. ;-.. :-' ,' ... :"_.■• 'Any effort miiie. to extena the traa& of-the Empire,- said; Mr. /RunciTnan, wonia not bo on.an-oiclusive basis in the sense that ft would; shut Britain off from the rest of the world. -Having made sdcure. the' position in Britain, tho hextjstage was to extend trafflo Within «xc Empire, and the next to extend 'British trade- along freer channels throughout the world. Nor is-the reference .-..'to die security of Britain's position to be "taken to imply that, in Mr. Runciman^ ppinion, she is now out of the woodi On Ac contrary, -while', welcoming :the signs of reyival'in the cotton; trade and the manufacture of -electrical machinery, Mr* ;Runciman admitted qualification that | > - tneiipni ,«id t ke& industry, cb*,L marine, engineering, ;and shipbuilding showed::»>; material tigng of improvement. > Their eonflitioii. was oaising th«i greatest anxiety, »nd there ;appeared no ehane© of-a revival until these was. a marked revival in the world's trade. , x .. ;." But comparative, tests show nevertheless what[great strides Britain hks jffiade.. During the six; nionUis ending March, 1931, the number in employment fell by more than 250,0t(0; the six months ending March, 1932, the number rose by .almQst. : the same amount. In the first quari ter of this year, though British exports fell 11 per cent below die level of the corresponding quarter of (1931, those of Germany fell 21 per cent;, Frarice;33 per cent, Neth-. erlahds 34 per- centiyand the United States 35 per cent. It ik atrarigeJirt deed to find the two", great goldhoardpg countries in hot competition for die prizes in the donkey-race and only, failing to win both by the narrowest possible margin. . It is on the whole a wonderful recovery that Mr. Runciman is able to report. Measured by the test of exports, Britain has suffered less from the shrinkage of the world's trade' in" the- last quarfeEr;, than any other country. She is still "theiniqs^ highly . N .•■ industrial -.'■ countryifa | i|^ Europe"; arid her commercial aotivK' ties are "still the greatest in > die world." It is an encouraging and inspiring record, arid: if Mr. Neyjlfe; Chajmberlaiiii can beat ■it to-niortow nobody will grudge; him die hbriduE