A SLUMP COMING.

Wanganui Herald, Volume LIII, Issue 160739, 27 August 1920, Page 9

A SLUMP COMING.

BRITISH ECONOMISTS PREDICTION. By Telegraph— Press Assn.—Copyright. Australian and N.Z. Cable Association. Received August 27, 11 a.m. LONDON, August 25. Dt Clapham, President of the Economic section of the British Association, in his address, predicts a commercial and industrial slump, more certainly in the United States tffan Britain. If America remains a creditor nation she must arrange' to buy more outside, but her political processes will probably be too slow to enaole her to adjust her policy before the slump occurs. Britain’s position is tetter provided customers continue their offerings, but the uncertainty of war damaged nations doing so causes anxiety. The chief combatants, except America and Britain, are far from being able to pay their way. Dr Clapham added that if the combatants had done what Britain had done, namely, adjusted their trade balances within a reasonable time and so avoided the renewal of special credits the slump would have come, not as an international crisis, but as a gradual decline, when the present abnormal demand for goods had ceased There is reasonable fear in view of the complicated dangerous currency position in many countries, and the uncertain political economic future cf Central and Eastern Europe, iff at a genuine crisis distinct from deprcsn-in may occur, with a bad spell of uner-n'eyrnent, the more dangerous because of the high standard of living to which the people are becoming accustomed.