THE WORLD’S ILLS

Otago Daily Times, Issue 21668, 11 June 1932, Page 12

THE WORLD’S ILLS

A SUGGESTED REMEDY RETURN TO GOLD STANDARD (United Press Association.) (By Electric Telegraph—Copyright.) GENEVA, June 9, ■ A return to the gold standard and the desirability of a rise in the price level, aided by the central banks, are advocated in the final report of the gold delegation of the League’s Financial Committee. Return to the gold standard, however, cannot be -expected pending a restoration of a reasonable degree of freedom in the movement of goods, the settlement of reparations and war debts, and the establishment of certain guiding principles in the working of the ;old standard. The delegation considers that the rapid decline in prices, beginning, in 1929, cannot be attributed to deficiency in the gold supply, which has been adequate to support the credit structure required by the Board of Trade. A minority report, signed by the chairman (M. Albert Jandsem), Sir Reginald Mant, and Sir Henry Strakoscb, contends that the dominant cause of the brec.K down was the maladministration of gold, reserves, beginning in 1929, and emphasises the practicability of restoring and maintaining gold prices at a suitable level by a concerted attempt to restore wholesale prices to the 1928 level.