POINTS OF UNCERTAINTY.
Even as regards the International Money Markets, although there is for the moment a general downward movement in Bank Rates, the fact remains that the penchant on the part of central banks for accumulating gold continues, and as Sir Josiah Stamp has frequently proclaimed, this problem of the appreciation in the pur- chasing power of gold is becoming a menace to the economic situation all over the world, and together with the fall in prices of commodities is playing its part in depressing trade conditions at many centres, and accen- tuating the problem of Unernployment. And what must be said With regard to the disturbing effects upon trade by the uncertainty. which prevails with regard to the future Tariff arrangements ? I am not proposing to enter here into fiscal controversies, but I think it, will be common 'ground that when there is uncertainty as to future fisCal policy, file effect upon trade can scarcely be other than. disturbing. Indeed, on this very. ground Mr. Snowden's reticence with regard to Safeguarding Duties in the artificial silk industry furnishes an example of the harm which may be wrought with regard to uncertainty as to future policy. MoreoVer, intermingled with tariff uncertainties is the general unsettlement with regard to International and local politics. The Naval Conference drags rather wearily, while the alarming increase' in the estimates for the forthcoming Budget has greatly increased appre- hensions with regard to Taxation prospects. Else- where I give an extract from the speech recently delivered by Mr. Courtauld, in which he deals with the effect of Government—using the word in its general and not in its Party sense—legislation upon financial and business activities, and the City on the whole strongly endorses Mr. Courtauld's views. There was probably never a moment when a strong business Government was more needed. than now, and much of the present feeling of hesitation and lack of confidence would be changed if it were felt that the legislature was sufficiently alive to the seriousness of the economic position to frame its legisla- tion in accordance with the stern requirements of the situation, rather than upon those which may be deemed desirable on the grounds of political expediency,
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