Undue Emphasis on Currency

Manawatu Times, Volume LIV, Issue 7191, 24 June 1933, Page 7

Undue Emphasis on Currency

AMERICAN ATTITUDE DEFINED (British Official Wireless.) RUGBY', June 22. The attitudo of the United Elates regarding the suggested temporary currency stabilisation was elucidated today by the following statement issued by the American delegation to the World Conference: —“Undue emphasis has been placed upon the consideration of a plan proposed for a temporary do facto stabilisation of currencies. The fact is that this was never tho affair of the delegation. It was considered by representatives of tho Treasuries and Central Banks of tho United States, Great Britain and France. Dr. Spraguo Haiton had been specially sent to represent the United States Treasury for this purpose. “As to the ultimate objective, the American delegation has already introduced a resolution designed for ultimate world-wide stabilisation of unstable currencies, and is devoting itself to the support of measures for the establishment of co-ordinated monetary and fiscal policy to be pursued by various nations in co-opcration with each other for tho purpose of stimulating economic activity and improving prices.” Economic Nationalism.

Tho United States delegation to-day tabled a resolution in tho Economic Commission of the Conference, designed to lay the foundations for a gradual reduction and tho removal of artificial trade barriers. It asks the Conference to agree that the policy of economic nationalism is against the common interest, that all arbitrary restrictions shall be removed completely and quickly, and that tariff barriers be reduced as soon as possible by reciprocal bilateral or multilateral agreements, wffiich should contain no discriminatory features likely to react unfavourably on world trade us a whole. Abundant Credits V/anted. Later Mr, Couzens, the Republican member of the American delegation, tabled a further motion in favour of close co-operation between the Governments and the Central Banks aiming at making abundant credits available to sound enterprises and reinforcing this with stimulation of employment by Government undertakings in every country. British official circles refuse to be cast down by tho rebuff caused by the American failure to support the earlier temporary stabilisation project. They state that time must be given to sec the effects of President Roosevelt’s measures for the recovery of prices. The present rises havo only affected existing holders of stocks and have not yet reached the producers. Britain and America arc agreed as to the necessity of stabilisation, tho only diffiercnce being when this should take place. The Russians arc gloating over the American resolution, declaring that it must strengthen their demands for the withdrawal of the British embargo.