THE DEAD TREE IS VERY GREEN

Evening Post, Volume CXVI, Issue 107, 2 November 1933, Page 10

THE DEAD TREE IS VERY GREEN

The world is depressed economically, but the world by no means stands still. Inventively—and even developmentallyr-rit is a more forward world than ever. Transport and communications that have the air as their medium are marching from success to success, as is proved by the air-travel figures of Sir Eric Geddes and the radio progress. On land, transport is financially embarrassed—almost bankrupted—yet Governments (through subsidy) and pri-1 vate people find plenty of capital for establishing'and advancing aerial transport. Neither the private investor nor the State is deterred from advancing money for new aerial enterprises—enterprises the profitmaking point of which is not yet within sight—by the mere fact that old enterprises on "terra firma" are the reverse of firm in a monetary sense. . What better evidence could i there be of capital's confidence in the unreality of the "world crisis"? I . Crisis there certainly is, but it is mainly a valuation crisis. Triumphant production has created abundant real wealth to be exchanged when people agree on 'the terms of , exchange. Their non-agreement paralyses transport to some extent, yet capital; developments in transport (air, sea, land) speed ahead, because real wealth must soon solve its mere distribution problems, and the services that move it about will again be prosperous. There is nothing in the investment situation (the surest guide) indicating a belief in a permanent break-down. There is indeed every indication that investors take the common-sense view that the realignment of supply and demand, through or over the walls of tariff, quota, and gymnastic currencies, may happen in a night.