TRADE PRINCIPLES

Manawatu Standard, Volume LIV, Issue 120, 20 April 1934, Page 7

TRADE PRINCIPLES

PEREMPTORY MARKET RULES. FAVOURED NATION PRIVILEGE. STABLE MONEY NECESSARY. (United Press Association—By Electric Telegraph.—Copyright.) (British Official Wireless.) Received April 20, 9.20 a.m. RUGBY, April 19. In his presidential address to the Association of the British Chambers of Commerce, Sir Alan Garrett Anderson expressed the view that ono of the principles which must be observed before the world market could be restored was that the chief creditor nation in the circle of -world trade must buy more than it sells, or its debtor will bo unable to sell more than it buys and so pay its debts. Tli© principles on which the world’s market nourished had been forgotten, and must be restored. The axioms of commercial mathematics were peremptory rules, and the nations should bind themselves together by the mutual grant of the most favoured nation privilege. Until the day when the world market once more included every country, they should show in a smaller circle of commerce that they could to-day, as in the past, sustain both buyer and seller and spread employment and demand throughout the circle. The larger the circle the better, but let them at least agree on the principles, join the circle, and make a start towards recovery. Sir Alan expressed the hope that the discussions would convince the gold bloc that, to maintain currencies, they must join in asserting the correct principles and in restoring the exchange of trade, and that would convince the other nations that commerce would not thrive unless it was based on stable money.