RECORD BANK DEPOSITS
DANGERS OF INFLATION j LONDON, May 10 I The Treasury's increased resort to borrowing from the banks has caused the clearing banks' deposits to rise to the new high level record of £2,828.500,000 last month. Financial experts say the expansion of bank deposits is not necessarily proof of inflation, but they regard the rapidly rising trend uneasily, especially in view of the continued increase in the note circulation. The Chancellor of the Exchequer, Sir Kings ley Wood, strongly refutes the suggestion that the increase in the fiduciary issue involves danger to future credit expansion. Some money market authorities urge that the fiduciary issue should bo further increased, and advocate a system of "staggering" wage payments _a s a means of obviating tho necessity for issuing new notes.
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New Zealand Herald, Volume LXXVIII, Issue 23968, 19 May 1941, Page 8
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130RECORD BANK DEPOSITS New Zealand Herald, Volume LXXVIII, Issue 23968, 19 May 1941, Page 8
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