SET FAIR.

Evening Star, Issue 22535, 31 December 1936, Page 8

SET FAIR.

As the old year closes Britain’s trade barometer is at “set fair.” Recovery from the depression has been slow, steady, and consistent, and the leading industrialists and business organisations anticipate a considerable expansion in trade in the coming months. It is particularly interesting to note that prospects have greatly improved in the coal, iron, and steel industries, which have been so detrimentally affected in the post-war years. This will have a most beneficial effect on certain of the distressed areas —notably the South Wales coalfields —and will greatly assist the Government in its efforts to relieve the position. That British enterprise has not lost its momentum is indicated in the way the newer trades have developed, and the output from the aircraft and radio equipment factories is tremendous. If one were guided by the novels of the day he ■would imagine that the population of Great Britain rode about in highpowered cars of Continental and American make, so that it is interesting to read in a cable message that 94 per cent, of the motor vehicles sold in the United Kingdom are of home manufacture, while Britain’s share in the total world export of motor vehicles is approximately one-sixth. The steady up-turn along‘the business curve means » great expansion in the spending power of the people, so that a feeling of restrained optimism is justified. New Zealand is profoundly affected by the favourable developments in the Motherland, seeing that she takes about 80 per cent, of our exports, and if Mr Nash shows wisdom and discretion satisfactory trade arrangements should be the outcome of his negotiations in London.

Another favourable development Is the evidence of returning prosperityin the United States. There slow but steady expansion in trade during the year. Contrary to past experiences, the election campaign brought no hesitancy or uncertainty. Production and trade continuously surpassed expectations, and at the moment the tide of prosperity is still running in. There is no doubt, that President Roosevelt’s re-election had a stimulating effect on the country generally. He has a big majority in both Houses of Congress, and his legislative announcements are awaited with the greatest interest. It is predicted that there will be a continuance of relief in its present form, of agricultural adjustment, of social security, and of public utility regulation. A revival of experiments on the lines of the “ New Deal,” which was rendered nugatory by the decision of the Supreme Court, is not improbable, though he announces that the re-enactment of the measures in their previous form will not be attempted. He may even tackle the problem of amending the Constitution in order to bring it more into conformity with modern ideals. There is one thing that his triumphant election showed, and that is his personal popularity. One commentator says that “ Mr Roosevelt is the most popular President that America has known, certainly since the Civil War, and probably since the Revolution.”- Because of this, and his parliamentary majority, be can, if he has the will, make great changes in America’s economic and industrial life. He has got rid of his “ Brain Trust ” —all have been dropped by the wayside—hut that does not necessarily mean that he has abandoned entirely the schemes that he launched when he first came into office. The people appreciate his strenuous good intentions, and in effect they have made him a Democratic dictator. His legislative plans in the domestic sphere will be closely followed by every English-speaking community. In foreign affairs it is possible that he may now become more venturesome.