AMERICAN WEALTH

Poverty Bay Herald, Volume LIII, Issue 16339, 13 May 1927, Page 5

AMERICAN WEALTH

Silt JOSIAH STAMP ON GOLD

PRICES.

LONDON, March 24

Sir Josiah Stamp, addressing the American Chamber of Commerce in London on some of the underlying factors' that were now, and would lie in the near future, important elements in the development of the United States, said that the total American “current income” was now over ±)14,000,000,090 sterling, or nearly equal to the capital wealth of the United Kingdom before the war. This showed a growth of 36 per cent in live years in the income per head, or 7 per cent, per annum, and this was real income, after allowing for the difference in price level. In eight years, from 1909 to 1917, the total increase in per capita real income was 15 per cent., and in the last nine years 26 per cent. The average person working tor a money income really received about 25 per cent, more than in 1917 and 44 per cent, move than in 1909. It was sinall wonder that America’s power to lend abroad was so great, and must continue to he a dominant feature in the direction of the world commerce.

The export surplus of goods necessary to make tins foreign investment was again being largely increased by a sale of goods for gold, for the total gold imports in January amounted to over £lO,000,000. or more than a month’s world production. This was the largest for any month since 1921. The United States had learned the trick of absorbing large quantities on the basis of credit without any undue effect on prices, and were so rich that they could afford to carry idle and unproductive assets m a way that- would reduce any other country to beggary. Gold prices had diminished in the United States by 6 per cent, in 1026, and were falling since, a combination unusual with business prosperity.