WAR AND SLUMP

Evening Post, Volume CXXV, Issue 82, 7 April 1938, Page 8

WAR AND SLUMP

BOTH HELD UNLIKELY

SIR JOSIAH STAMP'S VIEWS

(From "The Post's" Representative.) LONDON, March 16. "Australian statesmen talk rationally, and not mere political niceties. They are better than the statesmen in New Zealand in their understanding of economics," said Sir Josiah Stamp, after his return, via the United States, from his visit to Australia and New Zealand. He added that the spirit abroad in these Dominions was generally one of buoyancy. Sir Josiah, once named one of the six greatest men in the world, refuses to be a pessimist. He does not believe in the inevitability of either war or an industrial slump in Britain. "We in Britain are a good deal more optimistic than the Americans," he said. "There is no need to fear- a slump in this country.- A depression in certain industries is likely, but I believe it will only be temporary. "The industrial situation in America, with its political complications, is depressing and, of course, may indirectly affect Britain. But Ido most strongly condemn the jitters. They tend to bring about the very.things you are jittery about. Despite all the war scares in Europe, I heard more talk of war in one hour in America than I have heard in a month in this country. SKILFUL HANDLING. "The words of mine most widely quoted in America were 'Gloom and grandmotherliness invite slump.' " Nor-does Sir Josiah Stamp believe that a slump is inevitable when Britain's huge re-armament programme finally comes to a standstill. . He says: "When this happens I am sure that with skilful handling a slump can be avoided. This can be done by, among other things, the ■ judicious use of public works which create employment." ■ ' , . , In the United States Sir Josiah heard both praise, and criticism of the causes of the Cabinet crisis in Britain. ' > * ii. ■* "I found appreciation of the fact that England could not be expected to be the policeman of Europe forever or the sole influence to wage war for righteousness." , Sir Josiah, cheery, twinkling-eyed, and indefatigable at 58, is Britain s busiest man. In addition to being one of the world's foremost economists, he is chairman of the L.M.S. Railway, director of the Bank of England, president "of the Abbey Road Building Society, member of the Economic Advisory Council, and is connected with innumerable societies.