THE WORLD’S BUSINESS

Manawatu Standard, Volume LIII, Issue 244, 12 September 1933, Page 8

THE WORLD’S BUSINESS

BRITAIN SHOWS IMPROVEMENT. AMERICA’S BIG TASK. WELLINGTON, Sept. 11. “There is no doubt whatever that there is an optimistic tone about business in the Old Country,” said Mr A. E. Armstrong, managing director of Armstrongs. Ltd., of Christchurch, who arrived in Wellington on Saturday after a business trip round the world. “This I was able to gather not only as an observer in the ordinary way, but from those with whom I had business dealings. Business was certainly better with most of the manufacturers concerned in drapery lines, and they looked forward to returns for this year being considerably ahead of those for the past two .years. It has been a very hot summer in England, and this gn.ve quite a fillip to the lighter class of summer wear, the designs of which were really most attractive.” “In America on my way home I found things pretty bad,” said Mr Armstrong. “But even there 1 detected a spirit of better times coming. As you know, Mr Roosevelt had launched his national recovery scheme, the result of which will not be knoivn until it has had a fair trial. At least the President is making a bold experiment in interfering with business to such an extent.

“Many people could not understand the action of the American Government under his ‘Blue Eagle’ scheme in forcing up wages. The price of the goods made by such labour had to advance correspondingly, so that if the people could not purchase the goods in sufficient quantity before to bring about a sensible increase in industry, how were they going to do it with goods at an increased price? However, these codes were all now in operation, and it will he interesting to see the ultimate result. “To me it seems that the President in his, or his Brain Trust’s idea, of forcing the local situation, is missing the main point at issue as far as the United States is concerned. We all know that the States during the last twenty years has built up a vast overseas trade. To take one only—the motorcar trade. Every country was invaded by American cars, and the business done was enormous. It was the same in regard to the radio business in its earlier stages. Huge plants were laid down to cope with this world-wide trade, and it is because the United States has made it impossible for the world to trade with her that many of these great plants have had to close. “Even if local trade is partly restored under the national recovery scheme, the major industrial problem will still remain unsolved. Roosevelt had a great chance of doing something big at the recent world conference, but he torpedoed the whole business at an early stage in the proceedings, and the vast expenditure entailed in summoning that great congress went for nought.” “People may smile at the mention of war between Japan and America, but they would not do so if they visited the States at the present time. Recently the whole of the American fleet was brought through the Panama Canal to the Pacific, and is now stationed at San Diego (Southern California) and Hawaii, which has never before been the case iu the history of the nation. I personally saw a parade of ten thousand American marines in San Francisco. It was a very impressive sight, and all San Francisco was very excited about it. The Japanese still resent the restrictions placed upon their people by the United States Immigration Department, and all through the States Japanese have been replaced in the hotels by Filipinos. Experts have been tolling us for years that the next big world trouble will be in the Pacific. It looks as though tlieir deductions may not have been so far-fetched as some of us may imagine.”