OFF GOLD STANDARD.

Waikato Times, Volume 113, Issue 18928, 24 April 1933, Page 7

OFF GOLD STANDARD.

REASON FOR THE STEP. DEPARTMENTAL EXPLANATION. OPINION IN AUSTRALIA, United Press Assn.—Elec. Tel. Copyright. WASHINGTON, April 22. The action of the United States in going- off the gold standard was described to-day by the State Department in telegrams to the London, Berlin, Paris and Rome Embassies as having for its aim a world-wide improvement in commodity prices, not any special American advantage. The messages contained an explanation of the sudden embargo. They said America’s goal was not to obtain a bargaining weapon in the international conversations with Mr MacDonald and others, but to raise American prices as a step toward raising the commodity price level the world over. “ It may be hoped that other countries, by taking suitable monetary measures, will assist in producing the desired price movements,” the telegrams stated. SYDNEY, April 23. The Federal Cabinet considered briefly America’s abandonment of the gold standard and will keep in_ close touch with the British Government’s official Information and Mr MacDonald’s conversation with Mr Roosevelt. Ministers admit that if the American plans prove as drastic as some quarters suggest serious problems may arise which will enhance the importance' of Australia’s representation at the World Economic Conference, where America’s relations with the rest of the world will be Anally resolvpd.

SHIPMENTS FROM CANADA. SUGGESTION BY FINANCIERS. United Press Assn. —Elec. Tel. Copyright. OTTAWA, April 21. Mr E. W. Rhodes, Minister of Finance, said that from time to time the banks were granted a license to export gold, but in the past It had gone to New York. Financiers suggest that it is now more profitable to" ship gold to London and convert it into United States funds there.

STABILITY OF THE FRANC. NOTHING TO FEAR. United Press Assn. —Elec. Tel. Copyright. (Received April 24, 12.30 p.m.) PARIS, April 23. The frano has nothing to. fear from •the fluctuations of other currencies. It remains the world’s most stable solidly-covered currency,’ said M. Daladier, the Prime Minister. The re-establishment of International confidence is more important than artificial measures whereon hopes •have been based.