AMERICA'S RECOVERY

New Zealand Herald, Volume LXXII, Issue 22262, 9 November 1935, Page 13

AMERICA'S RECOVERY

ECONOMIST'S OPINIONS THE TRANSITION PERIOD (Received November 8. 6.45 p.m.) NEW YORK. Nov. 7 A representative of the Australian Associated Press interviewed Professor T. Hytten, economic adviser to the Tasmanian Government, who has about completed his visits to the United States and Canada and is preparing to leave for Australia by the Maunganui. He said he Vas satisfied with having been present on the American scene in one of the most interesting transition periods economically. The United States appeared to be; definitely on the upward movement j from the depression, said Professor I Hytten. He had found that commenta- ; tors hardly agreed as to the exact cause ; of the improvement and it was hard to assign the exact role played by the "New Deal." Probably it had helped, and in some respects hindered, but the basic causes of the improvement were still hidden and imperfectly understood, j One of the remarkable features of America's present situation was the ' part played by beliefs or ftears'in regard to America's future or Europe's -future) felt by Europeans themselves. Either many persons in London felt that America's recovery from the depression was fully assured or their fears in connection with the dispute between Italy! and Ethiopia were so, acute that much European capital had poured into the United States. The result was contrary to America's best interests economically. Americans undoubtedly would wish to keep the sterling dollar ratio at the status quo, but the continuous influx of gold must tend to bring the value of the dollar up. What effect this would have on the course of America's recovery, or what new monetary steps it might compel the American Government to take was one of the thing* that would bear close watching in tha near future.