Few Ottawa Benefits

Manawatu Times, Volume LV, Issue 7031, 15 December 1932, Page 11

Few Ottawa Benefits

CANADA DISAPPOINTED MAY GO OFF GOLD STANDARD OTTAWA, Dec. 8. Tho Prime Minister, Mr. Bennett, when in England, will discuss, among other matters relating to the Ottawa Conference, the fact that under present arrangements and exchange rates those benefits expected by Canada from tho agreements are vanishing. One of his chief concerns will be to investigate the recent failure of a delegation from British Columbia lumbermen, who visited London only to find English importers entering into longer and larger contracts with Baltic tirn.7 ber producers. From all parts of Canada, especially from the wostorn prairie fanners, are coming demands for a mild inflation of tho currency, at least following tho courso of sterling, which, if the present debt negotiations with tho United States fail, is expected to bo still further depressed in terms of United States currency. It may be that Canada wiil, before long, abandon tho gold standard, and the Canadian dollar may next year stand at about 60 cents in relation to United States currency. One great objection to this policy is the commitment of the Canadian Federal Government and the provinces to repayment of loans in New York funds. On the other hand, a further decline in sterling will totally extinguish any profit the Canadian exporter can get under the conference agreements.