CONDITIONS IN U.S.

Hawke's Bay Tribune, Volume XI, Issue 200, 17 August 1921, Page 5

CONDITIONS IN U.S.

MR WILFORD’S IMPRESSIONS . FINANCIAL STRINGENCY SEVERELY FELT. Wellington. August 16. Mr. T. M. Wilford ,M.P., interviewed to-day on his arrival in Wellington from Sail Francisco, said that city, with the rest of America, was feeling the world condition of financial stringency, suffering from the high cost of production and the loss of. customers. Mr. Mellon, the new Secretary to the Treasury, stated that during the year ended June 30 America lost 3,000,000 dollars of the export trade. This Mr. Hoover ascribed to the bankrupt state of Europe and the impossibility of trading at the present exchange rate. Mr. Mellon also stated that out of every dollar of taxation only seven cents were available for administration purposes after paying annual liabilities .and he warned the people that unless all departments decreased expenditure taxation would bo greater still. Owing to wage increases high railway rates had thrown many thousand waggons and passenger cars idle. The. citrus industry in California was completely knocked out. Seventy-eight ships in the ’Frisco harbour were idle and 1300 were lying up in all American ports. Interest rates were away up to 8 per cent, on ordinary city bonds. The Japanese question logins very large in the States to-day. but at the same time the Disarmament Conference meets with general favour. It is estimated that there are two to three million unemployed in Amenca. General Booth states that the outlook for the coming winter is the worst on record. As the result omployees in some industries hade readily I accepted cuts of 15 to 20 per cent. | . Asked his opinion regarding prohibition, Mr. Wilford said it was too soon tp judge whether it was effective, but From what he had seen he had come to) three conclusions—one. that the real j effect of prohibition will not be seen until private stores of liquor are used up; two, that saloons and spirits had gone for all time; three, that light wines and light beers will eventually : be permitted. , One curious effect, was ' that “dry” cases, of which 4000 cases were awaiting trial in ’Frisco alone, were blocking judicial business. America had not enough judges to cope with the work.