The Grey River Argus FRIDAY, May 17, 1946. THE CRUX OF TRADING.

Grey River Argus, 17 May 1946, Page 4

The Grey River Argus FRIDAY, May 17, 1946. THE CRUX OF TRADING.

Among handicaps to a reasonrestoration of international trade, which is the main object, from the standpoint of Americans, in making Britain a very large loan, there are several inherent in industrialism. Contrary to popular estimation, the chief one is mass production. Even at this time, when supplies are short, peoples are prone to rely for them upon the most massive sources, rather than encourage craftsmanship of their own. At present a large part of the world is destitute or unable to produce surpluses of goods in exchange for which to make up major deficiencies. The other part of the world is accumulating surpluses for export, without a prospect of payment. If there were means of payment the wool. pile would not be nearly so great. Under war pressure quite a number of nations previously upon mainly an agricultural economy have gone in for mass production, so as to lessen greatly the selling scope for industrial countries or long standing, and lessen thereby their capacity to pay for things they must import. The American loan is calculated indirectly to facilitate Britain’s capacity to pay for food imports. The loan is to be regarded in the light of the Bretlon Woods attempt to stabilise currencies and restart multi-lateral trading, which, it is asserted, is essential for a. satisfactory international goods distribution. This year there is to be at Washington a conference on world trade and employment, but it is safe to predict there will then be little talk about the sense of frustration ; the demand to shorten working hours where machines control the operatives; the irresponsibility of workers for finished products: the waste of raw materials; or the promotion of monopolies and the concentration of power in a few hands which arc of the essence of mass production. Little doses of the thing appear admirable among people among whom it is a novelty, but the logical conclusion to draw is the effect of it all upon the grand scale. Taking a broad view, the present lack of commodities may keep mass producing factory wheels going at top in many countries for a few years. providing a consequent glut of goods can find consumers able to pay. But the very nature of the competition of t hese mass producers will ultimately mean thar the country witli the greatest power of lending to customer countries, and with access at the same time to unlimited raw materials will tend inevitably to a monopoly of international trade In that event it would alSo be able to exercise international political control. If the paramount nation does allot a quota of industrial production to nations losing in the competition, the latter could not remain solvent mi n basis of continued mass production. The reason. is mass producing factories must work at full pressure if they are to pay. It appears heretical to forecast such a situation, but it is at least evident to the ordinary individual that mass production. is accelerating the ruin of small businesses, and is entailing a policy of the direction of labour to industry. One result is a lessened sense of responsibility on the part of the individual. New Zea-

land lias admittedly yet advanced no great distance in the way of mass production, and should therefore do its utmost to keep a sane balance between its primary and secondary industries, so that should some other mass producing country gain ascendancy, it will not be in a position to dictate to this country. Our aim should be to encourage only the highest quality goods, and at the same time establish the greatest jossible proportion of the nation upon the land whence the fundamental, needs of all may be’supplied, and whence this and other countries at this time are asked to aid in meeting the fundamental needs of so many other countries. High quality is a good industrial policy, and maximum subsistence farming a good rural policy.' Nobody to-day thinks of a slump resulting from mass production, but that was the system which, with its consequences in finance capitalism, precipitated the last depression.