Is it Inflation?

Grey River Argus, 5 December 1940, Page 6

Is it Inflation?

[Aus. < f ' N.Z. cable A.’"] (Received December 5, 1.25 a.m.) NEW YORK, December 3.

Mr Eccles outlined his scheme in camera at a meeting of the National Industrial Conference Board. He declared it was to be expected that the British Empire’s gold would flow to the United States, where it would be bought by the Treasury. Thus it would be swelling the bank reserves, and increasing the danger of inflation. On the contrary, funds for the loan proposed by him could be raised by the sale of securities, which gold could be earmarked, as a backing, instead of passing the gold to the United States reserve.

Mr Eccles views are being widely circulated through members of the Conference. They have, aroused interest, owing to their being a controversy as to granting Britain credits, and also because Mr Eccles is the first to propose a departure from the easy money policy.

Greymouth Borough, £172 3s; Inangahua County, £132 6s Bd. A statement of the above-mentioned payments was submitted at a meeting of the Westland Provincial Centennial Committee last evening.

In the House of Representatives yesterday the price of school exercise books was mentioned. In an urgent question to Hon. D. G. Sullivan, Minister of Industries and Commerce, Mr Richards (Govt., Roskill) drew attention to the reduced number of leaves in the school exercise books, while the price remained unchanged. The increased price, he said, represented a two hundred per cent, advance on what was justified. Mr Sullivan, in reply, said that this matter was being investigated at the present time.— Press Assn.