The Grey River Argus MONDAY, February 24, 1947. RECONSTRUCTION IN BRITAIN

Grey River Argus, 24 February 1947, Page 4

The Grey River Argus MONDAY, February 24, 1947. RECONSTRUCTION IN BRITAIN

the critical tasks of the British Government is that of effecting an economic recovery. Its latest White Paper reveals a large-scale plan, one in which State enterprise in coal mining, finance, transport, and presumably steel, power, and gas, in due course, will play a part. But it is substantially a revival of the traditional policy of exporting manufactures. To that end the importation of no fewer than a hundred thousand workers is intended. It, remains to be seen, however, whether intensified

industrialism in this fashion will alone provide a full recovery. The idea is again to depend for food upon importing—no doubt as a balance for exports—replacing the agriculture* built up in wartime with livestock. A quick recovery is the aim. A hurdle is presented by debt, as well as by a restriction of markets, due to debt. The White Paper significantly estimates the financial position in dollars. The position in this respect is stated to be this year much more difficult “ than it would appear from Britain’s total balance of payments. Her deficits in western hemisphere countries (also India) will prevent her using her surpluses in eastern hemisphere countries. Thus the draw on her dollars will exceed a deficit of three hundred

millions. .To restore the balance, a quarter of manufacturing capacity must be devoted to export, will) competition in quality and price. It is intended to control the steel industry, so that supply may be directed into the avenues planned, including shipbuilding, while it is stated that the miners have the hard task of producing two hundred million tons of coal. To induce more men to how coal, miners of an age liable for military service will be exempted for five years. Britain may be expected to exploit markets in Europe, where German competition will be less than before the war, even if French competition is greater, not to mention that of

Russia. It is evident that a certain amount of direction to industry is intended, not perhaps individually, but by the prescription of forms of industry. The Dominions are in various respects not as good markets as formerly for Britain, their industries during the last decade having been greatly diversified and expanded. They too have scope for imported labour, and Now Zealand could absorb many people adapted for occupations here. It is the young migrant who is in demand, for in all British countries the people nvn no'nino- ns the result of 1110

nro ageing, as uw icsuii. ui me drop in birthrate, which in Britain now is below replacement level. [liou,gh this meantime is only evident there in the fall of the school population by a minion or two. One strange probability is that if conditions to-day arc extreme]v hard on the Continent, and diet lefieient, the ultimate outcome to

be expected is ?,n increased birthrate. On the contrary, as the living standard rises in the Dominions, the birthrate decline will probably continue. There doubtless would be a rush of emigrants from Britain were people able to obtain transport, but it is not so certain that they mostly would be of the. type adapted for conditions here. It is admitted that -workers this year will be going from Britain to the Dominions, expecting, doubtless, to find a better environment. Our capitalists are verv anxious for immigration, preferably of single people. It appears as if Britain now stands where France stood after her Avar with Prussia nearly 80 years ago, looking to man her more arduous industries with foreign labour, with the difference that Britain has no idea of agriculture being the foundation which it always has been for the French population.

Yet it is open to doubt that Britain will return to her former industrial status, for her farmers are more than ever united to attain security. Even if it lessened meat and dairy imports, the proposed switch from agriculture to live stock may be slower and less radical than suggested. There are indeed many areas to which dairying could be extended, and if these are exploited, this country may have also to make a readjustment. In any case, with Britain a debtor country for perhaps a long time to come, imperial preference is due for radical review. The American slant on Britain’s exigency is interesting, it. being that imperialism is nearing its term, wth a devoluton of power—as for instance in India’s case—Avhich is something of a revolution. The consequences of the Avar are sloAvly taking shape. They cannot be undone. Whether British, Continental, or Asiatic, industrial development must be subject to the ugav conditions arising from the Avar, alike mental and material- This is partly illustrated by the enormous degree in Avhich Britain’s economy has come under political 'control. The masses there are less than ever concerned about the imperial aspect of economics, an'd more preoccupied Avith their oavd status. It is something neAV for n Foreign Secretary to lament that, his influence is limited by economic impotence, but more notable is the fact that it has been to the Avorkcrs he has thus spoken. Americans may see in the situation something of a decline, but for the British Avorkers the immediate concern is not the Avay they appear to an outsider, but lioav things affect themselves.