JAPAN’S CONQUESTS

Grey River Argus, 8 October 1942, Page 5

JAPAN’S CONQUESTS

CO-PROSPERITY IDEA. NOT WORKING YET. I Aust. & N.Z. Cable Assn.] LONDON, October 6. Things are working out differently from what the 1 Japanese expected in the co-prosper.ity sphere, comments the “Financial News.” The Japanese intented that a high degree of economic planning should be directed from Tokio over the conquered territories. Agriculture would be readjusted, coffee, sugar and rubber being replaced -by cotten and other textiles. Exportation of minerals would be stimulated. industrial production would be concentrated in Japan, the principle of the international division' of labour would be enforced, currencies in all Japanese controlled countries would be based on the yen, various currencies having a yen ballance in Tokio, and the bank of Japan to have a' central gold reserve to secure the yen. A steady price level would be maintained through extensive price control, and Tokio would become the international finance centre. „ x I'.’; The paper states: “Altnough information from the recently conquered countries is scanty, it is sufficient to show that in practice, matters are developing differently from the way envisaged in theory. It may be easy "to reduce the growing of cane-sugar and rubber, but cotton growing cannot be expanded by a stroke of the pen. A gigantic effort is needed to repair the devastations of the scorched earth policy, which put out of action mines and oilfields, it will be some time before the Japanese can replace American and European engineers formerly employed, and also provide the necessary machinery ana equipment. Lack of transport facilities prevents Japan developing the international division of labour. On the contrary, many conquered countries are forced to become self-sufficient to save shipping space. Judging by the degree of devaluation forced on certain conquered countries, their currency is I'kely to be stabilised at an undervalued level, resulting from the Japanese deriving the considerable advantage at their expense from overvaluation of the yen. It will, be no easy matter to build up a big gold reserve, for gold production within the co-prosperity.area is limited. If Japan w’shes Tokio to become the international finance centre, she is going the wrong way by borrowing from subject races, instead of lending to them. Altogether, when one goes behind the barrage of words to find tne true fact, then all the information received from conquered countries, suggests the native populations are be ! ng subjected to ruthless exploitation.”

"The Times” says there are signs that the Siamese are jibbing against co-prosperity. It is apparent that the Japanese are taking much and giving little to reluctant allies.