Greymouth Evening Star. AND BRUNNERTON ADVOCATE. THURSDAY, JANUARY 4th., 1934. MR. ROOSEVELT’S MESSAGE.

Greymouth Evening Star, 4 January 1934, Page 4

Greymouth Evening Star. AND BRUNNERTON ADVOCATE. THURSDAY, JANUARY 4th., 1934. MR. ROOSEVELT’S MESSAGE.

« T o be asked to talk on the monetary question is like being asked to shake hands with an octopus. At which end of the octopus shall wc start?” So said, recently, Sir Josiah Stamp, a director of the Bank of England, and one of the recognised financial experts of .the Empire. He added emphasis to the difficulty of finding a solution of

the world’s monetary situation by

telling of a doctor, engineer, and a financier, who wertj debating which of them belonged to the most honourable and ancient profession. The doctor said: “Mine, easily. Don’t you remember that in the beginning Eve was made out of a rib in Adam’s side? Well, there’s a surgical operation for you.” But the engineer said: “Yes, but before that happened don’t you know the whole world was made out of chaos in six days. Now, there’s an engineering feat for you.” “Ah!” said the financier, “but who made chaos ? ’ ’

Mr. Roosevelt is rushing in where experienced bankers fear to tread, but even he is nebulous in his message to Congress.’Definite details are avoided, a series of hopes and generalities being forthcoming. This may be all right for Congress, but will bo insufficient to restore national prosperity. The recovery plan has been in action for several months now, and the results are not up to Roosevelt predictions. Nor does authoritative opposition grow less. Leading Ministers and Administration advisers have resigned

rather than accept responsibility for the Roosevelt policy of the “boloney” dollar, and although no difficulty is found by the President in obtaining their successors, these do not have public confidence to the extent that the others possessed. Nearly all the bankers and Wall Street institutions are “agin the Government” in this matter. It is claimed that this hostility is due to fear that their vested interests will be assailed, and this is probably true, in some instances, but not in all. Abroad, criticism is equally strong, and the developments in the

U.S.A, are followed with keen

interest and considerable anxiety. There is plenty of goodwill towardsAir. Roosevelt’s aim, but little approval of the manner in which he is attempting to restore national fortunes. His plans are regarded by most Anglo-French bankers as fallacious, and the necessary steps are being taken to prevent the cheapened dollar ruining the ex-port-trade of European lands. Costs of production have increased in U.S.A., and this has, hitherto, offset any advantages from the depreciated dollar, so far as foreign trade is concerned. Moreover, it is not believed that Mr. Roosevelt and his advisers have the ability to produce the goods, and the claim of American efficiency is, to-day, regarded as mythical. With every post-war advantage, U.S.A, should have become the leader of the world in finance and commerce, but through inefficient leadership, the country has lost its supremacy, and is, to-day, in a much worse position than those lands, like Britain and France, who bore the burden of the war. U.S.A.’s prospects of recovery appear to depend as much upon the outside world conditions as upon domestic developments, and, meanwhile, a “wait and sec” attitude is the only course.