THE DEPRESSION OF TRADE AND THE SOCIAL SCIENCE CONGRESS.

Timaru Herald, Volume XXIX, Issue 1342, 8 January 1879, Page 3

THE DEPRESSION OF TRADE AND THE SOCIAL SCIENCE CONGRESS.

(British Mail.) In his inaugural address at the twentysecond annual meeting of the National Association for the Promotion of Social Science, held at Cheltenham on the 23rd of October, the president, Lord Norton, who is also president of the Board of Trade, referred briefly to the depression of trade which has prevailed during the last three years, and is now apparently becoming intensified. From his position as the Minister of Commerce, his remarks should carry great neight with them, and we accordingly reproduce them : — "The Associated Chambers of Commerce refused a motion for examination of the causes of depression of trade, or to call on the Jupiter of Government, so clearly did they see where to look about for themselves. The fact is, that other countries have learnt m many ways _to supply themselves, and even to trade with some things of which we had a monopoly before. But the expansion of the world's wealth and commerce will stiU fiud scope enough for England's enterprise, not only m the connection and extensiou of its present custom, but m new fields, which we shall not cease exploring till the spirit of the nation confesses itself dying. This depression of trade is temporary, and the like must from time to time recar as trade overdoes itself m one line till it finds another. It is the British spirit of commerce which never says 4 die,' that I look to, and not to a new-fangled Minister of Commerce, at some of my

j country propose, who must have seen too ■ much of Paris lately. I have been Eng- | lish Minister of Commerce for the last i five years, and, whatever my own power : of service, I had some of the ablest of our i eminently able permanent service with I me ; and I am sure the great trading m:- -: terests of this self-acting country, so far \ from benefiting, or adding more to the i progress of the nation, by a Government officer practically assuming partnership, | would find from the proposed new minisj try only vigilance and invention languishI iug, and innate spirit dying out." These utterances, proceeding from such a source, must be held to be ext •= ■■ -< -i unsatisfactory and disappointing. In some respects they are not to be easily understood, for they may be construed as an indictment against the Board of Trade for uselessness, and m disparagement of the office which the speaker himself holds m the Ministry. The sneer of Fiance appears to be misplaced, for the commerce of that country has suffered less than that of any other. Nor is it easy to see the drift of the compliment paid to the spirit of the British nation which never says " die." That spirit has never flagged, and yet it was insufficient to ward bring about a revival ? No doubt when off the depression ; how then can it the depression passes away the spirit of commerce will turn the welcome change to good account ; but, unaided, mere spirit might c yen do mischief. The fact that other countries have learnt to supply themselves is rather suggestive of a prolongation of the depression, especially as there is not manifested m any quarter a disposition to reciprocate the blessings of a free trade which have been so plentifully scattered abroad by our policy. This is a question which should be looked m the face, and not merely waived aside as a matter which it is unpleasant to dwell upon. We have no doubt but that m the expansion of the world's wealth and the opening of new fields of enterprise, England will be able to secure a full share, but if the President of the Board of Trade had nothing more specific by way of consolation to offer, he had better have omitted reference to the subject altogether, and left to others the easy task of uttering platitudes. No one as far as we know, has accused the Board of Trade of neglecting its work, or has sought to lay the blame of the depression on the Government ; but Lord Norton occupies a position where he should be able to get information and to form matured opinions, so that he might have been expected to speak with more definiteness. At a subsequent meeting of the Association, a discussion on " The Causes of the Present Depression and Stagnant Condition of Industrial Enterprise, and what are the best remedies," was opened m one of the sections under the presidency of Professor Bonamy Price, when Mr David Chad wick, M.P., offered some practical remarks, which we append: — "He took the imports and the exports of the United Kingdom during the last 15 years, and showed that there had been an increase m the value of imports of 145£ millions sterling, an increase m the exports of British produce m ten years from 1863 to 1874 of 108 i millions sterling, and a decrease m the exports of British produce m the four years from 1873 to 1876 of 56£ millions sterling, whilst m the same four years the value of imports had increased no less than 23 millions sterling. The inflation of the trade m 1872-73 waa owing to the extraordinary stimulus given to foreign ana colonial trade by the large amount of Government loans, and the consequent expenditure m railway and Government works. The depression of trade which ensued after 1873, and which had increased yearly till the present comparative paralysis of 1878, was chiefly owing, first, to the three bad harvests since 1871, which Mr Caird had estimated had caused a loss of 87£ millions sterling. Secondly, the famine m India and China, and the fall m prices, and consequent unprofitable trade with those countries. Thirdly, foreign competition, especially by the United States, with the heavy protective duties that country had put on certain goods. Fourthly, the diminished demand of India for English cotton by the erection of mills m India. Fifthly, the opening out of a large number of new coal pits, the erection of iron works, and the fear arising from the possibility of the war between Russia and Turkey involved England and other European countries ; and finally, the recurrence of the decimal cycle of bad trade, which has gone on for 150 years. His remedies for the removal of the depression were greater economy m national and local expenditure, and a greater economy m the expenditure on intoxicating liquors, estimated at 155 millions sterling ; the reduction of the cost of production ; the removal of restrictions on trade ; the security of peace with all the world ; and the placing of greater restrictions on jointstock companies by preventing their beginning business until two-thirds of their capital was subscribed, and periodical examinations of their accounts." As bearing on the cost of production, the question of the employment of female labor demands attention. A remarkable paper on this subject, which follows, and which was read at the same meeting of the Association, will well repay perusal.