A SERIOUS OUTLOOK.

Otago Witness, Issue 3414, 20 August 1919, Page 17

A SERIOUS OUTLOOK.

A WARNING BY MR HOOVER. INCBEASED PRODUCTIVITY NEEDED. (By Cable.) LONDON, August 13. Mr Herbert Hoover (United States Food Controller), in an article in the National Food Journal, states that 15 million families in Europe are receiving unemployment allowances in one form or another. The population of Europe is a hundred. million greater than can be supported without im« ports. The proper and insistent demand of Labour for higher standards of living is unfortunately impregnated with the theory that limitation of effort will increase tha total employment. Unless productivity is rapidly increased moral and economic chaos will result, finally interpreting itself in loss of life on a scale hitherto xmdreamed of. The entire surplus productivity of America is totally incapable of meeting the European deficiency. Thera is no economic policy to bring food to tho stomach which does not secure the maximum production. The practice of raising funds by the inflation of the currency must cease. Mr Hoover suggests the abolition of tho great bureaucracies controlling prices and distribution, as he considers them unnecessary, now that the world markets are open. All attempts at the international control of prices with a view of benefiting Europe will produce a retrogression of production abroad. A decrease of 20 per cent, in American wheat would not starva America, but it would starve Europe, un* less there is more work done in Europa and saner statesmanship prevails. cannot go on feeding Europe on credit. PROFITEERS ARRESTED. < WASHINGTON, August 15. Huge seizures of cold storage foodstuffs continue throughout the country, and foods worth millions of dollars will be dumped into the wholesale markets. Many arrests of profiteers are expected There have been extensive Governmental seizures of foodstuffs in many American cities, with the object of reducing the cost of living. i THE POSITION IN PARIS. PARIS, August 14. The drastic action of the Leagues of Consumers is having unexpected serious. results. Many retailers are shutting theiy shops, and wagon loads of perishable goods have been returned to the already con* gested depots'.